Butler County insurer to acquire underwriter

One of Butler County’s FAIRFIELD — largest employers has made an estimated $134 million deal to acquire a London-based underwriter.

Fairfield-based property and casualty insurer Cincinnati Financial Corp. announced recently that it has signed an agreement to acquire MSP Underwriting Limited, a global specialty underwriter and Munich Re subsidiary.

The transaction has been approved by Cincinnati Financial’s board of directors and is expected to close in the first quarter of 2019, pending regulatory approvals and other closing conditions. MSP Underwriting will continue to operate under its own brand and with its existing leadership team.

“We believe (the deal) brings experienced underwriters who can open new opportunities for us, supporting our agents in new geographies and lines of business,” said Steven Johnston, Cincinnati Financial president and CEO.

“It complements our existing large commercial account, excess and surplus lines, high net worth personal lines and reinsurance assumed growth initiatives.”

Cincinnati Financial employs nearly 3,000, making it the largest employer in Fairfield and the second-largest employer in all of Butler County.

MSP Underwriting operates through Beaufort Underwriting Agency Limited, which underwrites for Lloyd’s Syndicate 318. The syndicate wrote about $201 million in 2017 annual gross written premiums.

Johnston said the company anticipates “good prospects” for profitable growth through its Lloyd’s platform and its more than 200 international licenses.

Adding MSP to Cincinnati Financial’s insurance operations presents “relatively low overall risk,” Johnston said.