Sentry Insurance coverage swoops for The Common

Mutual insurance coverage firm Sentry Insurance coverage is buying The Common, a non-standard auto (NSA) insurance coverage supplier, from American Household Insurance coverage in a deal valued at $1.7 billion.

The sum features a money consideration of $1.1 billion, plus assumed liabilities and required capital. The transaction is slated to shut by the top of 2024, pending regulatory approval.

With an extended historical past in enterprise insurance coverage, Sentry additionally operates Dairyland, which affords NSA insurance coverage in addition to protection for bikes and off-road automobiles. The swoop for The Common is about to bolster Sentry’s place within the NSA market.

Pete McPartland (pictured), chair and chief government of Sentry, famous: “This acquisition is the most important in our 120-year historical past. It brings collectively two of the strongest manufacturers within the non-standard auto trade.

“Collectively, Dairyland and The Common will probably be higher in a position to meet the specialised wants of much more drivers throughout the nation. It’s an thrilling step ahead for each corporations, and I’m happy with the work our staff has finished to make this doable.”

The Common, which has been part of American Household since 2012, has seen important progress beneath the latter’s possession.

American household chair and CEO Invoice Westrate highlighted: “As a part of our enterprise, The Common has grown its income greater than fivefold, pushed persistently worthwhile enterprise, entered into new states whereas remaining devoted and passionate concerning the clients and the promote it serves.

“We’ve discovered a strategic and cultural slot in Sentry, the place the expansion and momentum that The Common has will proceed.”

Based in 1963 and headquartered in Nashville, The Common has constructed a popularity in direct-to-consumer NSA insurance coverage. In distinction, Dairyland, established in 1953 earlier than becoming a member of Sentry in 1966, is understood for its impartial agent community.

Beneath the deal, roughly 1,300 The Common colleagues will be part of Sentry’s present workers of 5,000. The transition of staff will take impact on January 1, 2025.

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