Coverys buys minority stake in Strategic Risk Solutions

Boston-based medical professional liability insurer Coverys has purchased a minority stake in captive insurance manager Strategic Risk Solutions Inc., the companies said Thursday.

As part of the deal, Coverys will have a representative on the board of Concord, Massachusetts-based Strategic Risk Solutions, but will not have day-to-day operational involvement in the captive insurance manager, the companies said in a statement.

In the statement, Coverys President and CEO Gregg Hanson said the investment in Strategic Risk Solutions “will ensure continued access to SRS’ expertise for Coverys clients interested in using captive insurance options as part of their overall risk financing strategy.”

The size of the minority stake was not disclosed.

Strategic Risk Solutions is the fourth-largest captive manager in the latest Business Insurance ranking, with nearly $2.79 billion in 2015 captive premium volume.