Gallagher Acquires South Carolina-Based Riley & Associates

Illinois-based Arthur J. Gallagher & Co. has acquired Riley & Associates Inc., a property/casualty retail insurance broker in Mt. Pleasant, S.C. The move expands its presence in the Palmetto State.

Riley & Associates will add to Arthur J. Gallagher's existing office in Charleston, Arthur J. Gallagher said in a statement. It works with clients on property/casualty insurance, risk management services and advises on commercial and personal lines primarily in the Southeastern United States. Riley & Associates specializes in insurance coverage for the hospitality, moving and storage, transportation and marine industries.

The terms of the transaction were not disclosed.

"Their industry expertise and geographic presence in the Charleston area will be an excellent complement to our Southeastern region's retail brokerage operation," said J. Patrick Gallagher Jr., chairman, president and chief executive officer of Arthur J. Gallagher, in a statement. 

Arthur J. Gallagher has acquired several smaller firms in recent months.

In December, the company acquired Salt Lake City-based Transwestern General Agency Inc., which specializes in insurance for the transportation industry and individuals with a high net worth.

A predominantly middle market broker, Gallagher has had a mergers and acquisitions strategy since 1986.

In 2011, Gallagher moved into Europe when it picked up London-based broker Heath Lambert for $152 million and the liability and affinity business of independent Lloyd's broker Lonmar Global Risks for an undisclosed amount (Best's News Service, May 13, 2011 and July 18, 2011).

(By Jeff Jeffrey, Washington Correspondent: jeff.jeffrey@ambest.com)