Canadian P&C brokerage space sees four M&A deals in June

Merger and acquisition activity in the Canadian P&C insurance industry is showing no sign of slowing down in the second half of 2022, with the announcement of four transactions by three brokerages already since the beginning of June.

McDougall Insurance & Financial, BrokerLink and StoneRidge Insurance Brokers (SIB) all announced M&A deals earlier this month. Ontario brokerage McDougall Insurance merged with Brown & Brethour Insurance Brokers Limited; BrokerLink acquired Insurance Executives Brokers & Consultants Inc. and Goodison Insurance and Financial Services Limited; SIB expanded into Saskatchewan with a partnership with K5 Insurance Inc.

Belleville, Ont.-based McDougall Insurance’s merger with Brown & Brethour was effective June 1. Based in Sunderland, Ont., Brown & Brethour has been providing Uxbridge, Lindsay, Port Perry and surrounding areas with comprehensive property, auto, commercial and farm insurance since 1986.

“They currently have 18 employees who will be joining the McDougall Insurance team,” McDougall Insurance says in a statement posted on its website. “All employees will remain with the organization and their office location, phone number and name will not change. This office is a great addition to our brokerage in an area close by several of our other branches.”

With this merger, McDougall Insurance now has 41 offices in eastern Ontario, the Ottawa Valley and central Ontario, with about 450 employees and more than $500 million in property casualty premium.

BrokerLink’s latest two acquisitions, effective June 1, expand the brokerage’s presence in Ontario, particularly in the Mississauga and Brampton areas near Toronto.

Family-run Insurance Executives Brokers & Consultants Inc. has offered home, auto, business and life insurance to customers in Mississauga and the surrounding area since 2004, “giving special attention to customized coverage needs,” BrokerLink says in a release.

Brampton-based Goodison Insurance and Financial Services Limited has offered personal and business financial insurance services, as well as life insurance solutions, for 80 years.

“These two brokerages are deeply rooted in the communities in which they operate, and have developed solid customer relationships,” says BrokerLink president Joe D’Annunzio.

Insurance Executives and Goodison Insurance professionals will continue to serve local community members as part of the BrokerLink team.

So far this year, Intact Financial Corporation subsidiary BrokerLink has acquired 12 brokerages in the regions it operates: Alberta, Ontario and Atlantic Canada. In addition to Insurance Executives and Goodison Insurance, BrokerLink has welcomed these 10 brokerages to its ranks in 2022:

• In Alberta, Bow Valley Insurance (its largest acquisition in Alberta to date), Tailor Made Insurance and Maple Insurance
• Ontario-based Blair Insurance, A&A Insurance, Greg Kelly Insurance, Rice Inc., Nickel City Insurance Brokers, and Atto & Associates Insurance
• Nova Scotia-based Bluenose Insurance.

BrokerLink is one of Canada’s largest P&C brokerages, with more than 200 branches and 3,000 employees.

Most recently, SIB Corp., operating as StoneRidge Insurance Brokers, partnered with K5 Insurance Inc. to expand its personal and commercial insurance presence in Manitoba and into Saskatchewan. With offices in Selkirk, Man., Cut Knife, Sask. and North Battleford, Sask., K5 has offered a wide range of personal and commercial offerings, including home and tenant insurance, auto, commercial, farm, and travel and health insurance, to clients throughout the Prairies since 1967.

The partnership was announced June 3, the third transaction for SIB so far this year. SIB, which provides insurance and consulting services through its platforms – an insurance brokerage, MGA/MGU, group benefits and an adjusting firm – expects another three transactions to close in the next 60 days, says president and CEO Ted Puccini.

K5 is the twelfth investment SIB has made since partnering with private equity firm CIVC Partners, LP in November 2019.

 

Feature image by iStock.com/Tinnakorn Jorruang