Schinnerer to acquire property managing general agent ICAT

Underwriting manager Schinnerer Group on Thursday said it has agreed to acquire International Catastrophe Insurance Managers L.L.C. from Bermuda-based insurer and reinsurer Paraline Group Ltd.

Terms of the deal were not disclosed. The acquisition is expected to close in the third quarter of this year, Chevy Chase, Maryland-based Schinnerer said in a statement.

Schinnerer, which is owned by Marsh & McLennan Cos. Inc., said Broomfield, Colorado-based ICAT complements Schinnerer’s existing services for middle-market, small commercial and residential clients. 

ICAT operates in all U.S. states adjacent to the Gulf Coast, Atlantic Coast and Hawaii, and offers coverage in all states that carry a material exposure to earthquake events, Schinnerer said in the statement.

ICAT will retain its relationship with Lloyd’s of London syndicate 4242, owned by Paraline; its associated Special Purpose Arrangement 6123, a sidecar facility that allows 4242 to provide increased per-risk limit to ICAT; and a number of other leading insurance carriers.

A Schinnerer spokeswoman said ICAT has more than 200 employees and manages about $300 million in premium volume. There will be no layoffs of staff reductions from the acquisition. 

“The insurance market for catastrophe-email xposed small commercial property is underserved with opportunity for expansion,” Christopher Schaper, the Schinnerer Group’s CEO, said in the statement. “ICAT delivers integrated and seamless value to clients through a highly automated and efficient underwriting platform with proven capabilities.”