Castle Cairn deal is Central’s second acquisition in 2011

Central Insurance has bought Edinburgh-based Castle Cairn Insurance Brokers for £2.3m.

Castle Cairn has a gross written premium of £5.5m and specialises in commercial and high net worth insurance for private clients.

It has niches in management liability advice and cover to the commercial sector, particularly in oil and gas and fund management.

Central Insurance managing director Iain Henry said the deal would help Central write more financial lines and private client business and get a foothold in Edinburgh.

“Castle Cairn has built a very strong business in the private client and specialist financial lines market, and we think it’s a great fit for us as we look to grow into this sector and extend our reach in the central belt in our other key sectors.”

Castle Cairn director Alan Grant said: “Castle Cairn and Central share many of the same characteristics and values so we are looking forward to contributing to the future growth of Central as it becomes an increasingly important independent player in the UK.”

The acquisition of Castle Cairn follows the £2.6m acquisition of Aberdeen firm Collins Halden & Burnett in May 2011.