Transaction Expected to Be Completed by End of Q4-2022
Boston-based Safety Insurance announced that it has acquired the assets and operations of the Northeast Insurance Agency, Inc (“Northeast / Metrowest”). Founded in 1989, Northeast / Metrowest is a full-service insurance agency offering both personal and commercial coverage. Since its start 33 years ago, the agency has grown to include over $40 million in policy premiums throughout its four locations in Massachusetts.
“We are excited to further our long-term valued partnership with Safety while continuing to provide the products and service we are known for in the New England market,” said Mr. Bulger upon the announcement of the acquisition of his agency.
In additional comments offered on the acquisition, George M. Murphy, President and Chief Executive Officer of Safety reiterated his company’s commitment to independent agents.
“Safety is proud of our history as an independent agency company and remains committed to the agency channel. Our success is rooted in providing products and services to our agency partners and their policyholders, thereby gaining and holding their respect and loyalty. This acquisition is an exciting opportunity to strengthen our position within the independent agency channel while positioning us for future prosperity. Over 30% of our current policies are handled in our Service Center and there will be numerous synergies that can be recognized by both Safety and Northeast / Metrowest, that will enhance our policyholder services.”
“We are always looking for ways to grow shareholder value, and the opportunity to acquire an agency with the scale and experience of Northeast / Metrowest provides us an additional revenue platform,” commented David F. Brussard, Safety’s Chairman of the Board of Directors. “Safety and Northeast / Metrowest have had a great partnership for over 20 years and this transaction demonstrates our continued support of the independent agency system. The Safety Board of Directors is committed to providing long-term value and investment return by identifying new opportunities, while continuing to focus on our strong underwriting results and core business.”
The transaction will be subject to customary conditions and is expected to be completed in the fourth quarter of 2022.
Following the acquisition, Northeast / Metrowest will continue as a stand-alone business operation within Safety’s holding company under the executive leadership of Mr. Bulger. Upon completion of the transaction, the employees of Northeast / Metrowest will become employees of the Safety subsidiary. Northeast / Metrowest’s offices in Auburn, Falmouth, Needham and Westborough, will continue to operate from their current locations.
