Velocity – the holding entity for Velocity Risk Underwriters, Velocity Specialty Insurance, and Velocity Claims – has announced its major acquisition of Insight Risk.
Insight Risk is a loss prevention and risk transfer solution provider for the builder’s risk market. The acquisition, completed on Sept. 18, underscores Velocity’s most recent expansion, and marks the company’s second acquisition, and its first managing general agent (MGA) deal.
As a builder’s risk MGA, Insight Risk’s model incorporates Internet of Things (IoT) water damage prevention solutions to reduce water damage losses and deliver value to policyholders.
“This marks another exciting milestone in fortifying our position as a leader in the E&S property insurance industry by harnessing the incredible talent and innovative capabilities of the Insight Risk team,” said Praveen Reddy, Velocity COO and head of business development. “We believe that Insight Risk is poised for remarkable growth, and Velocity is thrilled to be a part of their journey.
“The completion of this acquisition of Insight Risk will infuse growth capital and provide additional capacity for Insight Risk and provide Velocity with a new diversifying line of business to its expanding specialty insurance platform.”
Insight Risk president and co-founder Chad Hollingsworth also commented on the acquisition, saying that the company was founded with the mission to leverage new technologies to reduce losses and create a better risk management experience overall.
“The rapid adoption of our model over the past twelve months proves that there is tremendous opportunity and appetite for our programs. Partnering with Velocity will supercharge our growth and allow us to scale faster to meet demand for our unique approach to underwriting and loss control,” Hollingsworth said.
Elsewhere in the segment, Victor Insurance Managers builder’s risk program manager Jeff Benson recently spoke to IB US about the current state of the market, commenting that a longer timeline and a higher cost of construction affected “not only the overall economy but [also] the builder’s risk line of business.”
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