Branch launches reciprocal exchange in Ohio
Columbus-based Branch , formerly operating as an MGA, has launched the Branch Insurance Exchange in Ohio. The news follows Branch’s $24 million Series A financing round.
The Branch Insurance Exchange is owned by its members and professionally managed by Branch for a low, fixed 5% fee. Clients agree to become a member of the Exchange when they purchase a policy with Branch. As the facilitator of the community’s resources, Branch puts members’ premiums aside to pay for the community’s claims and expenses.
Branch will return unused funds to members through vesting dividends. These funds can then be withdrawn, accentuating that members are owners of the Branch Insurance Exchange and rewarded for loyalty as users.
“Branch is a community of people who pool their small resources so that an unfortunate member who suffers a loss isn’t at risk of falling off their life’s financial trajectory. Branch is privileged to be the facilitator of that community.” – Co-founder and CEO Steve Lekas.
Branch plans to launch the Branch Insurance Exchange in the four remaining states where it operates and throughout the country as it continues its expansion.