PCF Insurance has acquired nine agencies since January 1st
PCF Insurance announced that it has acquired the Moulton Insurance Agency as part of a four-part series of acquisitions announced on July 22, 2020. Based in Western Massachusetts, Moulton Insurance is an independent insurance agency with two locations in Ware and Belchertown.
The four brokerages to have joined PCF Insurance include:
- First Fidelity Brokerage, a New York City-based full-service property & casualty insurance broker with a core focus on the education, construction, finance and real estate sectors.
- Horizon Insurance, a Bradenton, Fla.-based provider of personal, commercial and financial services insurance with a reputation of proactive and comprehensive service and education to policyholders.
- Moulton Insurance, a Western Massachusetts-based broker offering auto, home life and business insurance. Moulton offers personalized service with one of the highest ratios of licensed agents to professionals in the area.
- Avidity Insurance, an Overland Park, Kansas-based broker that has saved clients more than $3.6 million over the past five years through dedicated, on-the-ground service.
The four agency acquisitions were facilitated by HGGC, which owns PCF Insurance as a portfolio company. In commenting on the addition of four new agencies to his company, PCF CEO and Chairman Peter Foy said, “PCF’s story is resonating in the market, evidenced by our success rate with new brokerage partners. The PCF model offers a unique combination of accelerated growth opportunities and continued entrepreneurship that is highly attractive to the agency owner who believes his or her agency’s future is even brighter than the past.”
HGGC and PCF Insurance follow a “roll-up strategy”
Originally founded in 1987 as Peter C. Foy & Associates Insurance Services in Woodland Hills, California, PCF Insurance grew over the years into a broker providing risk management and employee benefits to more than 40,000 clients. In 2017, PCF Insurance was acquired by BHMS, a Westport, Connecticut investment firm targeting middle-market companies in business, healthcare, and insurance.
Founded by former Football player Steve Young, HGGC is a private-equity firm that purchased PCF Insurance on April 1, 2020. In addition to these four agencies, PCF Insurance also acquired five other agencies earlier this year, bringing its 2020 acquisition total to nine.
“PCF’s fast start is the result of a cohesive, shared vision with Peter and his team, and an efficient execution playbook driven by decades of shared industry experience,” noted John Block, Partner at HGGC, adding, “Together, we are building a platform that can offer win-win partnerships to brokers across the country as the insurance industry enters a hardening market.”
In order to achieve their goals of rapid expansion, both PCF Insurance and HGGC employ a ‘roll-up’ strategy. This strategy has proven very popular with many private equity-backed insurers such as Hub International, which allows companies to grow quickly and strategically. For example, due to its rapid growth and scale, PCF Insurance is now ranked as a top 50 broker in the United States by revenue.
