Insurance brokerage and risk management services firm Arthur J. Gallagher has acquired National Ethics Bureau, in Carlsbad, California.

Terms of the transaction were not disclosed.

Founded in 2001, National Ethics Bureau, doing business as the National Ethics Association (NEA), is a national program administrator that provides insurance products and services for its association members throughout the United States.

It specializes in errors and omissions insurance coverage for business professionals such as insurance agents, investment advisors, real estate agents, tax preparers and bookkeepers. It also offers its members a variety of other association-sponsored products and services.

Japheth Smellie and his team will continue to operate from their Southern California location under the direction of Kevin Garvin, head of Gallagher's North American affinity operations.

Arthur J. Gallagher & Co. chairman, president and CEO J. Patrick Gallagher, Jr. said: "NEA is well-known for its strong errors and omissions program and for providing its members with high-quality products and services. They also share the same strong ethical values and culture as Gallagher.

"Their solid membership and insurance carrier relationships, national presence and depth of expertise in the E&O insurance space make them an outstanding addition to our expanding U.S. affinity operations.  We are extremely pleased to welcome Japheth and his NEA team to our growing family of Gallagher professionals."

Arthur J. Gallagher & Co., an international insurance brokerage and risk management services firm, is headquartered in Itasca, Illinois, has operations in 33 countries and offers client service capabilities in more than 150 countries around the world through a network of correspondent brokers and consultants.