US insurer that recently launched UK subsidiary to be acquired

Korean insurer DB Insurance has signed an agreement to acquire 100% of the outstanding shares of The Fortegra Group from Tiptree and Warburg Pincus.

Based in Florida, Fortegra is a US speciality insurer. In December 2024, it received the green light to launch a new subsidiary in the UK from the Prudential Regulation Authority, with the firm making the move to expand its speciality insurance underwriting services.

The new transaction will be funded in cash with internal resources from DB Insurance, which claims that the deal will mark the largest US market entry by a Korean non-life insurer.

Ki-Hyun Park, head of global business at DB Insurance, said: “This acquisition will mark the first ever purchase of a US insurer by a Korean non-life insurer and represents a turning point for DB Insurance in its journey to become a global insurer.

”By combining Fortegra’s expertise with DB Insurance’s global network and capital strength, we aim to enhance customer value and market competitiveness while simultaneously achieving our dual objectives of increasing shareholder value and contributing to the national economy.”

’New chapter’

The acquisition is expected to provide DB Insurance with a platform for global growth in the largest property and casualty (P&C) markets, enable entry into the surety and warranty sectors and enhance earnings stability through broader geographic and business-line diversification.

The Korean firm also said that ”this agreement also provides Fortegra with a strong capital base to support its continued profitable growth as it joins an insurance group with strong financial ratings”.

Rick Kahlbaugh, chief executive at Fortegra, added: “This agreement with DB Insurance marks a significant new chapter in Fortegra’s journey.

”We look forward to partnering with DB Insurance to advance the shared goal of building a leading insurance group.”