The first brokerage M&A deal of 2020

Archway Insurance rang in the new year by announcing two new locations in southwestern New Brunswick following the acquisition of Groom Insurance Limited, effective Jan. 1, 2020.

The latest addition brings the number of Archway locations to 32, with approximately 75,000 clients and $150 million in premium volume, the brokerage said in a press release Wednesday.

“We’re pleased to welcome the employees and clients of the St. George and St. Andrews locations to the Archway family,” said Michael Stack, CEO of Archway, one of Atlantic Canada’s largest and fastest-growing insurance brokerages. “As a family business, Groom has common roots and many shared values with Archway.”

With two additional locations in southern New Brunswick, Archway will be able to provide face-to-face service to more clients in this region. By joining forces with Archway, Groom will be able to offer its clients more commercial insurance options, along with life, travel and employee benefits products.

Employees in both of Groom’s locations plan to stay on under the continued management of Kevin Groom. Gary Groom, who founded the brokerage in 1961, will continue in his role of managing key accounts to provide a seamless transition for all clients.

“My vision from the beginning has always been to serve the clients of Groom Insurance in the Charlotte County and surrounding areas by providing them with professional services in both personal and commercial lines,” Gary Groom said. “We are proud to say that a lot of our clients have been with us since the beginning. Our staff is dedicated to serving our clients by continually upgrading their knowledge in this ever-changing industry, and we’re confident the transition to Archway will provide only benefits to both staff and clients.”

Amherst, N.S.-headquartered Archway was active in the M&A space in 2019. Last February, it announced the acquisition of family brokerage George Mitchell Insurance of Liverpool, N.S. About a month later, on Apr. 1, Archway moved into Saint John, N.B. with the acquisition of Hall & Fairweather Insurance, an independent brokerage that sells auto, homeowners and business insurance products. Then, on Canada Day 2019, Archway nearly doubled its footprint in New Brunswick following a mega-deal to acquire three brokerages and seven new offices across the province.