MAPFRE & Plymouth Rock entities have entered into a definitive agreement
As part of its realignment strategy announced at the start of the year, MAPFRE and Plymouth Rock have entered into a definitive agreement in which the MAPFRE Insurance Company of New York, as well as its auto and homeowner’s business in New Jersey, will be sold to the Plymouth Rock Assurance Corporation and its affiliates. Although the parties did not disclose the terms of their agreement, the purchase and sale is subject to regulatory approval by the New York Department of Financial Services.
In commenting on the sale, Alfredo Castelo, the President and CEO of MAPFRE Insurance, said the decision to exit both New York and New Jersey was in line with the company’s strategy of re-focusing the Top 25 insurer on its cores states and lines of business, and in particular, Massachusetts.
These agreements support MAPFRE’s commitment to strengthen our foundation in our core states and lines of business, which will position us for profitable growth. We look forward to working with Plymouth Rock to ensure a seamless transition for our valued customers and independent agents.”—Alfredo Castelo, President and CEO of MAPFRE Insurance. “
Plymouth Rock purchase will greatly aid its expansion into New York
Plymouth Rock’s decision to acquire MAPFRE’s New York and New Jersey business builds on its announcement in April that it had officially entered the New York insurance marketplace. With the addition of MAPFRE’s mid-Atlantic business, the Boston-based insurer intends to offer both auto and home insurance policies to new customers in New York later this year, pending regulatory approval.
“Plymouth Rock was founded on the idea that our customers should come first,” said Hal Belodoff, President of The Plymouth Rock Company. “As we continue to grow, which is evidenced by our recent entrance into New York and Pennsylvania, and further expansion in New Jersey, our mission stays the same. We focus on new ways to improve our customers’ experience when it comes to insurance.”
New Jersey business will be sold to PRAC affiliates based there
Unlike the New York deal, Plymouth Rock already has a presence in the state of New Jersey. As such, this agreement will see the transfer of MAPFRE’s private passenger and homeowner’s book of business to two Plymouth Rock affiliates, the Palisades Safety and Insurance Association and Palisades Property and Casualty Insurance Company.
As with the case of the New York sale, the transaction between MAPFRE and PRAC in New Jersey is subject to approval by the New Jersey Department of Banking and Insurance.
“New Jersey will always be very important to our company,” added Belodoff. “We’re pleased to be able to expand our presence in the state and bring our unique products and features to new customers.”