HSB to acquire structural warranties specialist MD Group
HSB (UK) announced its agreement to purchase the MD Group of companies including its managing general agent, MD Insurance Services Ltd. In the deal, which is subject to regulatory approval, HSB will acquire the structural warranties specialist which includes the well-known Premier Guarantee and LABC Warranty brands.
The deal is part of HSB Group’s global acquisition strategy to further expand its insurance, engineering and technology expertise.
Established in 1997, the MD Group is a leading provider of structural warranty, building control and other insurance services to the construction sector across the UK. Its 435 employees include a national network of field-based building surveyors.
HSB has had a relationship with the MD Group since 2012, providing specialist machinery inherent defects insurance to its customers. In 2020, HSB extended its relationship further by becoming MD Group’s primary insurance capacity provider for its inherent defects facility.
“I’m really excited with the opportunity for us to work with the MD Group. This acquisition will not only expand our core insurance offerings into the structural warranty arena but also enhance our distribution capabilities within the UK construction industry. With the same specialist risk management-led underwriting ethos, which is supported by an expert team of surveyors, the MD Group are a complementary fit with HSB. And I’m really looking forward to welcoming them to our HSB family.” – Stephen Worrall, Managing Director – HSB.
“Having established MD Group in 1997, I am immensely proud of how far we have come. Going forward as part of HSB and the Munich Re Group, we will now have the support and resources of one of the world’s most experienced and stable insurance and reinsurance companies to continue this success story.” – Gary Devaney, Chairman and CEO of MD Group .
“Our HSB global strategy is focused on expanding our markets, and investment to support the growth of HSB’s UK operations is a key part of that strategy. The acquisition of the MD Group provides an excellent opportunity to complement HSB’s existing expertise in its UK markets and further build on its success.” – Peter Richter, HSB Group Chief Financial Officer.
