It seems there’s no end to deal-making in the insurance sector lately. Today, risk management giant Marsh announced that it has reached an agreement to acquire Wortham Insurance, a Houston-based independent insurance brokerage firm. The transaction is expected to close in the third quarter of 2018, and terms were not disclosed.
Once the acquisition becomes official, Marsh’s footprint will grow larger in the Lone Star State as it enters the Austin and Fort Worth markets, and will merge its existing operations in Dallas, Houston, San Antonio, New Orleans and Tulsa with Wortham. Richard M. Blades, currently the chairman of Wortham, will now be the CEO of the combined business, Marsh Wortham, and will also serve as chairman of Marsh’s energy and power practice in the US. He’ll report to Martin South, president of Marsh’s US and Canada division.
“Marsh and Wortham are very similar in terms of our approach to business, ability to form deep client relationships, and our values,” commented South in a press release. “The combination of our firms in this vital US region will deliver greater value to clients, colleagues and prospects through an enhanced value proposition, strong risk expertise particularly in the energy sector, and unparalleled client focus and service.”
Wortham’s history dates back to 1915 and it now counts more than 530 staff on its team in offices across Texas. P&C insurance, surety, personal lines, and employee benefits advice and solutions are all in Wortham’s wheelhouse, though the company has specific expertise in the energy, power, construction, and retail sectors.
“Wortham Insurance is an outstanding firm with a reputation for creating lasting client relationships and deep risk expertise,” said John Doyle, president and CEO of Marsh. “Together with Wortham’s well-respected management team and colleagues, we will deliver market-leading risk and insurance solutions to businesses and individuals.”
The new CEO of the combined business likewise sees the acquisition as “great news” for its customers and team.
“Wortham’s clients will continue to work with their existing service team including having the flexibility to utilize their existing international brokers while gaining the benefit of access to the wide range of global capabilities and product offerings of Marsh,” said Blades.
“Clients and colleagues will benefit from Marsh’s commitment to helping clients anticipate and meet the challenges of changing times and technologies. I look forward to leading Marsh Wortham with an entrepreneurial spirit in providing outstanding local service, while bringing our collective world-class expertise to businesses and individuals across the region.”