Florida P&C insurer UPC opens strategic review, could seek sale

Florida-based P&C insurer United Insurance Holdings (UPC) will launch a review of its strategic options, with an eye for new capital via asset sales or onboarding new strategic partners.

Management has opened the doors for proposals from all sides and all angles as it seeks to shore up its business. Creation of an unspecified Florida-based reciprocal exchange also made the short-list.

"The Board will consider a wide range of options for the Company including, amongst other things, a potential sale, merger, subsidiary divestiture, formation of a new Florida-domiciled reciprocal exchange, as well as the sale of equity, surplus notes or other financing or strategic transactions," the company said.

UPC retained Insurance Advisory Partners as its financial advisor and Debevoise & Plimpton as its legal counsel to assist in the review process. Investors were warned that no particular outcome was guaranteed and that no updates would be forthcoming until deemed "appropriate or necessary."

UPC writes personal and commercial P&C policies in Florida, Louisiana, New York, and Texas and hit headlines for its market position during the Florida renewal season. The company also writes policies in Georgia, South Carolina, and North Carolina, where renewal rights have been sold and all premiums and losses are ceded.

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