Unitrin has entered into an agreement to sell its health insurance subsidiary, Reserve National Insurance Company, to Physicians Mutual.
Don Southwell, Unitrin’s Chairman, President and Chief Executive Officer commented, “We believe that Reserve National is a very good fit with Physicians Mutual. While Reserve National has performed well since we purchased it in 1998, we do not have the scale in health insurance to compete effectively in the years ahead.”
Reserve National, based in Oklahoma City, is a provider of accident and health insurance products and medicare supplement insurance.
The transaction subjected to negotiation and execution of a definitive purchase agreement, completion of due diligence and regulatory approval, is expected to be completed in the second quarter of 2010.