American International Group (AIG) has signed an agreement with ABRY Partners and NSM management to acquire a controlling interest in NSM Insurance Group, for an undisclosed sum.
AIG, through its subsidiary, is acquiring the stake in NSM Insurance, which is one of the leading managing general agent and insurance program administrators in the US.
AIG senior vice president and Americas CEO Robert Schimek said: "NSM’s track record, highly innovative approach to program structuring, and strong reputation enhances AIG’s ability to deliver the comprehensive products and services customers need to successfully manage risk."
Based in Conshohocken of Pennsylvania, NSM develops and implements insurance programs for a wide range of niche customer segments.
NSM has been providing various insurance programs for AIG since 15 years, and will continue to provide services, in addition to managing third party programs. The company has around 300 employees in nine regional offices.
It provides insurance programs for social services and behavioral health, CAT driven property, collector cars, workers compensation, aviation, sports and fitness, microbreweries and professional liability for lawyers, dentists, architects and engineers.
NSM Insurance Group CEO Geof McKernan said: "AIG brings to NSM strong financial backing and A+ rated paper which will power our acquisitions and internal growth plans."
AIG intends to complete the deal within the next 30 days.
Serving commercial, institutional, and individual customers, AIG provides insurance services in around 100 countries. It is also major life insurance and retirement services provider in the US.
Image: AIG headquarters on 175 Water Street New York City. Photo: courtesy of AIG.