Orchid Underwriters Agency, a leading specialty underwriter of excess & surplus (E&S) insurance focusing on coastal properties, announced that it has acquired Coastal Agents Alliance (Coastal), a market leading managing general agent (MGA) based in West Atlantic City, New Jersey.

Coastal specializes in catastrophic coastal exposed E&S homeowners’ solutions and currently writes in the Northeast and Mid-Atlantic.

Terms of the transaction were not disclosed. Orchid was acquired by Gryphon Investors, a San Francisco-based middle market private equity firm, in November 2014.

The acquisition of Coastal expands Orchid’s reach into attractive markets in the Northeast and allows the companies to share best practices in meeting the needs of their customers and carriers. Coastal’s geographic presence is highly complementary with Orchid, which already has a well-established position throughout the South and Gulf Coast regions of the US.

Tim Byrne will remain President of Coastal and will have a significant ownership stake in Orchid. Byrne will also serve in a Senior Executive capacity for Orchid. All other members of Coastal’s management team will remain with the company, which will continue to be based in West Atlantic City.

"I am thrilled that Orchid is joining forces with Coastal Agents Alliance and the management team led by Tim Byrne," said Orchid President Brad Emmons.

"Coastal has created a strong and loyal following among its clients throughout the Northeast and Mid-Atlantic. Like Orchid, Coastal’s devotion to service, proprietary coastal E&S product solutions, and commitment to relationships is top notch, and we look forward to the benefits this complementary relationship will bring."

Founded in 1998 and based in Vero Beach, FL, Orchid Underwriters specializes in providing specialty insurance products for homeowners and other difficult-to-insure properties throughout the United States and the Caribbean.