Associated Banc-Corp's (Associated) subsidiary Associated Benefits and Risk Consulting (ABRC) has agreed to acquire Diversified Insurance Solutions (Diversified), an insurance broker in Wisconsin.
The transaction is expected to close next month. Terms of the transaction were not disclosed. ABRC is a multi-line insurance and Midwest-based consulting firm with 400 employees.
It is the 47th largest broker of US business, providing employee benefits, retirement plans, compliance, business insurance, risk management, and individual insurance solutions. Diversified Insurance Solutions, which was founded in 1982, adds a range of complementary services.
Associated president and CEO Philip B. Flynn said: “This well-known and established insurance firm adds strength to our Associated Benefits and Risk Consulting team.
“It also improves our ability to achieve greater scale in the Metro Milwaukee market and to further expand our Wisconsin employee benefits and property and casualty market position and capabilities.”
Diversified CEO Chris Lie said: “I believe our organizations possess a shared commitment to the customer experience. “By joining forces with Associated, our team can provide additional services to our existing customers while continue support communities in southeastern Wisconsin.”
Management teams from the two companies have known each other for several years, providing a unique and compelling opportunity to join two premier firms with complementary strengths into an even more vibrant organization going forward. Based on 2017 financials, the company believes this combination of Diversified will move ABRC among the United States’ top 45 insurance brokerage firms.
ABRC CEO Dean Hildebrandt said: “The addition of the Diversified Insurance Solutions is a great fit for our strategy, culture and customers.
“Both of our firms are focused on putting clients first. This will be our number one priority as we go forward together.”
Associated executive vice president and private client & institutional services head William M. Bohn said: “I am confident our companies’ combined expertise will benefit the Diversified team and their clients.
“By extending access to Associated’s comprehensive banking and financial services, we can help business owners and executives manage their daily business, take care of employees and achieve their financial goals.”
As part of the proposed transaction, key Diversified Insurance Solutions executives will continue leadership roles for some time. Along with current ABRC senior leadership, the team will be responsible for the thoughtful integration and expansion of the business going forward.
Associated will release 2018 first quarter financial results on Thursday, April 19, 2018, after market close. The company will host a conference call for investors and analysts at 4:00 p.m. Central Time (CT) on that day to discuss results along with this transaction.