Zurich completes acquisition of supplemental health insurance provider
SCHAUMBURG, Ill., Jan. 4, 2022 /PRNewswire/ -- Zurich American Insurance Company ("ZAIC"), a subsidiary of Zurich Insurance Group (Zurich), announced today that it has completed the acquisition of Special Insurance Services, Inc. ("SIS"), a Texas-based program manager that develops, underwrites, distributes and administers specialty insurance products for small and midsize employers. SIS, whose offerings include gap medical and occupational accident insurance, generates approximately $55 million in annual gross written premium and counts more than 5,000 employers as customers.
As medical costs continue to rise and employers shift to high-deductible plans, supplemental health insurance products can help employees cover deductibles and co-pays, protecting them from unexpected out-of-pocket expenses. The acquisition of SIS expands ZAIC's ability to deliver supplemental health insurance products and services, particularly gap medical, that are increasingly part of employer benefit packages.
"SIS has been delivering supplemental health products and services for over 34 years and deeply understands the needs of employers and employees in this growing market segment," said David Fike, Head of Life, Accident and Health (LA&H) at Zurich North America. "Through this acquisition, we now have the ability to underwrite and service under the same roof. As we worked with SIS to finalize the acquisition, we gained an even greater appreciation of SIS' expertise and their ability to deliver tailored solutions to Zurich customers. Today, we welcome them to Zurich and are happy to call them colleagues."
The SIS work force, numbering approximately 70 employees in Texas, now is part of the LA&H business unit within Zurich North America and will continue to serve customers through the SIS brand.
"Zurich's Life, Accident and Health and Human Resources teams worked closely with us to ensure a smooth transition, which gave us a lot of confidence and excitement about the road ahead," said SIS Head of Distribution Philip Rearick. "Combining our strengths with Zurich's is a great way to start the new year. Together we intend to provide best-in-class products and services in the supplemental health space."
"Financial discipline has allowed our businesses to identify and move on market opportunities that deliver on our strategy and build on our strengths," said Kristof Terryn, CEO of Zurich North America. "This acquisition reflects our commitment to listen to what our customers need, to offer innovative products and services, and to simplify our delivery of these solutions. We continue to prioritize investments in distinctive positions where we can bring unique value in the marketplace."
ZAIC's Accident and Health products for employers and other groups include voluntary benefits, travel insurance and assistance, gap medical, medical stop-loss, occupational accident and student accident insurance. The acquisition of SIS expands ZAIC's ability to deliver not only gap medical but also occupational accident and primary employer indemnity insurance.
Zurich Insurance Group (Zurich) is a leading multi-line insurer that serves its customers in global and local markets. With about 55,000 employees, it provides a wide range of property, casualty and life insurance products and services in more than 215 countries and territories. Zurich's customers include individuals, small businesses, and mid-sized and large companies, as well as multinational corporations. The Group is headquartered in Zurich, Switzerland, where it was founded in 1872. The holding company, Zurich Insurance Group Ltd (ZURN), is listed on the SIX Swiss Exchange and has a level I American Depositary Receipt (ZURVY) program, which is traded over-the-counter on OTCQX. Further information about Zurich is available at www.zurich.com.
In North America, Zurich is one of the largest providers of insurance solutions and services to businesses and individuals. Customers are served through the individual member companies of Zurich, including Zurich American Insurance Company. Life insurance and disability coverage issued in the United States in all states except New York is issued by Zurich American Life Insurance Company, an Illinois domestic life insurance company. In New York, life insurance and disability coverage is issued by Zurich American Life Insurance Company of New York, a New York domestic life insurance company. For more information about the products and services Zurich offers and the people Zurich employs in the U.S. and Canada, please visit www.zurichna.com.
This is intended as a general description of certain types of insurance available to qualified customers in applicable states, provided solely for informational purposes. Insurance coverages are provided by Zurich American Insurance Company, a New York domiciled company with its principal place of business at 1299 Zurich Way, Schaumburg, IL 60196 (NAIC #16535). The terms and conditions of policies described in this brief summary are governed by the individual policy document that contains the complete terms. In the event of any discrepancy between the information in this brief summary and the policy, the policy document shall govern.
Certain statements in this news release are forward-looking statements, including, but not limited to, statements that are predictions of or indicate future events, trends, plans, developments or objectives. Undue reliance should not be placed on such statements because, by their nature, they are subject to known and unknown risks and uncertainties and can be affected by other factors that could cause actual results, developments, plans and objectives to differ materially from those expressed or implied in the forward-looking statements. The subject matter of this information is not tied to any specific insurance product nor will adopting these policies and procedures ensure coverage under any insurance policy.