Ascot mulls strategic entry into US surety market via acquisition

Bermuda-based global specialty re/insurance  Ascot Group is entering the US contract and commercial surety market with the acquisition of a  Skyward Specialty-owned insurance carrier.

Ascot Insurance Company, a member of the Ascot Group, has reached a definitive agreement to acquire Boston Indemnity Company (BIC) from Great Midwest Insurance Company (GMIC), a subsidiary of Skyward Specialty Insurance Group.

BIC is domiciled in South Dakota and licensed in 46 states and the District of Columbia.

The acquisition is intended to facilitate Ascot’s entry into the US surety market and does not involve the transfer of any of BIC’s business or employees. Skyward Specialty’s Surety business will continue to be written by GMIC.

Upon completion of the transaction, BIC will become Ascot’s third US insurance carrier, and Ascot intends it to be renamed ' Ascot Surety & Casualty Company'. The completion of the deal is subject to regulatory approval and other customary closing conditions.

Jonathan Zaffino, Ascot Group president, said: “The acquisition of BIC represents the first step in Ascot’s strategic entry into the U.S. surety market, a highly specialized field that fits perfectly with our underwriting principles and strategy to deepen our financial lines product portfolio.”

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