Acquisition Creates Transactional & Financial Services Practice
Creating Expansion and Margin Opportunity
Hub International Limited (NYSE:HBG)(TSX:HBG) announced today the acquisition of the assets of Impact Insurance Services and the consolidation of those operations with Hub International Midwest's financial institutions business. Kirby Jordan and Scott Eckerty, principals of Impact Insurance, will join Hub International Midwest (HUB Midwest) as managers of the expanded business unit. Details of the transaction were not disclosed.
The financial institutions practice of HUB Midwest provides creditor placed insurance coverage and related insurance brokerage services to banks and other lenders. Dallas-based Impact Insurance Services offers an array of transactional custom products and services. Together, HUB Midwest's Financial Services Division will be a diversified practice that will incorporate new niche products and services into Hub's former financial institution practice. The Impact acquisition provides both management expertise and expanded transaction volume to the financial institutions business.
"We are pleased to bring a talented financial management team and an attractive customer base to our Midwestern Hub," said Martin P. Hughes, Chairman and CEO of Hub International Limited. "This new revitalized business unit creates substantial opportunities for our entire organization."
Eckerty and Jordan formed Impact Insurance Services to provide specialty products and expertise to niche markets. Impact successfully integrates web-based technology to create operational efficiencies in markets experiencing margin compression.
Prior to forming Impact Insurance, Jordan worked in the financial institutions business of HUB Midwest, among other firms. Jordan's previous roles included relationship management, product development, division management, consulting services, and chief executive officer.
Eckerty's earlier positions included Vice President of Consumer Loan Services at a specialty insurance agency, with responsibility for creditor placed insurance and an assortment of elite products. In his past roles he has overseen product line profitability, business development, agent relations, underwriting, new product development and compliance.
Headquartered in Chicago, IL, Hub International Limited is a leading North American insurance brokerage that provides a broad array of property and casualty, life and health, employee benefits, investment and risk management products and services through offices located in the United States and Canada.
This press release may contain forward-looking statements that reflect our current views with respect to future events and financial performance. These forward-looking statements relate, among other things, to our plans and objectives for future operations and are subject to uncertainties and other factors that could cause actual results to differ materially from such statements. These uncertainties and other factors include, but are not limited to, risks associated with implementing our business strategies, identifying and consummating acquisitions, integrating acquired brokerages, attaining greater market share, developing and implementing effective information technology systems, recruiting and retaining qualified employees, fluctuations in the premiums charged by insurance companies with corresponding fluctuations in our premium-based revenue, any loss of services of key executives, industry consolidation, increased competition in the industry, fluctuations in the demand for insurance products, exchange rates, resolution of regulatory issues, including those related to compensation arrangements with insurance companies, the actual costs of resolution of contingent liabilities and the passage of new legislation subjecting our business to regulation in jurisdictions where we operate. We caution readers not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Additional information regarding these risks and other factors that could cause Hub International's actual results to differ materially from our expectations is contained in the company's filings with the Securities and Exchange Commission and the Canadian securities commissions. Except as otherwise required by federal securities laws, Hub International undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.