National insurance broking firm MGA Insurance Brokers
has bought a 50% stake in Shepparton-based Sherbourne Insurance Brokers, expanding its presence in Victoria.
Sherbourne’s principal Sam Loughran has retained 50% of the business. Eight-strong Sherbourne Insurance Brokers was established by Loughran 35 years ago and specialises in rural, business, transport and earthmoving insurance.
Sherbourne’s Shepparton office will be rebranded as an MGA branch, with Loughran running it.
MGA’s managing director Paul George said: “We have used this structure before to help us expand and we know it works well for both parties.”
“Strategic acquisitions such as this help further strengthen our network.”
George told Insurance Business
that MGA prefers to buy 100% into a company or 50% with an interest principal, as was the case with Loughran.
He said the company was a great fit for MGA and a good mix of business that was complimentary to MGA’s.
Loughran said MGA would provide Sherbourne with a far greater underwriting presence and release staff from the time consuming tasks and responsibilities relating to compliance and training.
“MGA has handled this sale in a very professional manner and we look forward to further projecting their brand,” he added.
The Shepparton office is MGA’s 30th branch. It is represented across Australia and last year opened an office in Cambodia.