Transaction advances company’s geographic expansion and product diversification strategy
PHOENIX--(BUSINESS WIRE)--CopperPoint Insurance Companies, a western-based regional commercial insurance company, today announced an agreement to acquire Alaska National Corporation and its wholly owned subsidiary Alaska National Insurance Company (ANIC), an Alaska domiciled workers’ compensation and commercial insurance carrier. As of mid-year, Alaska National Insurance Company has a statutory surplus of approximately $550 million. In 2018, the company had gross written premium of $250 million and the combined companies will represent approximately $650 million in premium and an asset base of nearly $4.8 billion.
“It’s an exciting time in our nearly 95-year history as we look forward to welcoming Alaska National and their 250 employees into the CopperPoint Family of Insurance Companies,” said Marc Schmittlein, President and CEO of CopperPoint Insurance Companies. “We have been on a journey of transformation as we continue our geographic and product diversification strategy with the vision of becoming the leading regional commercial insurance company for the western United States.”
Alaska National brings a proven track record of strong underwriting discipline and exemplary service as evidenced by the company’s inclusion in the Property-Casualty Ward's 50® Companies for each of the past nine years. Alaska National is licensed in 26 states, opening opportunities for CopperPoint to continue its diversification strategy. CopperPoint’s headquarters will remain in Phoenix, Arizona, while Alaska National will continue operating under its company name and will remain domiciled and home-based in Anchorage, Alaska. The combined companies will have a locally-focused footprint with 10 offices in Anchorage, Boise, Denver, Irvine, Las Vegas, Phoenix, Portland, Seattle, Walnut Creek and Westlake Village. This enables and reinforces the companies’ shared essential philosophy of getting close to their distribution partners and their policyholder customers.
"For nearly 40 years, our company has focused on building personal relationships and developing customized solutions designed to achieve safer futures and better outcomes for our customers,” said Craig Nodtvedt, CEO of Alaska National. “CopperPoint is an ideal strategic partner and strong cultural fit for us. Both of our companies are deeply committed to employee excellence and to delivering best in class service to all of our stakeholders. We especially like that Alaska National will become part of CopperPoint’s mutual holding company structure where we can maintain our long-term view of the business allowing us to concentrate first on the needs of our customers.”
“Alaska National helps us significantly expand our portfolio of insurance products and geography, enabling us to better meet the evolving needs of our brokers, agents and customers,” Marc Schmittlein continued. “They are highly respected in the industry, recognized for their stellar service, exceptional financial performance, and talented employees. We are excited and confident about the future.”
CopperPoint privatized from the state of Arizona and converted to a mutual insurance company in 2013. Subsequently, CopperPoint introduced additional commercial insurance products, including commercial package, auto and umbrella in Arizona. In 2017, the company acquired Pacific Compensation Insurance Company, a California domiciled company, expanding into the California market. In 2018, CopperPoint further expanded and began to offer products under the CopperPoint brand in Colorado, Nevada, New Mexico and Utah. Earlier in 2019, CopperPoint adopted a new mutual insurance holding company corporate structure to support the continued growth of the company.
The transaction is expected to close once customary regulatory reviews and approvals are received.
Waller Helms Advisors and Locke Lord LLP served as advisors to CopperPoint Insurance Companies. Macquarie Capital and Debevoise & Plimpton LLP served as advisors to Alaska National Corporation.
About CopperPoint Insurance Companies
Founded in 1925, CopperPoint Insurance Companies, www.copperpoint.com, is a leading provider of workers’ compensation and commercial insurance solutions. With an expanded line of insurance products and a growing six state footprint in the western United States, CopperPoint embodies stability and sustainability for policyholders in AZ, CA, CO, NM, NV, and UT. It has $4 billion in assets and a policyholder surplus of over $1.5 billion. CopperPoint Mutual Insurance Holding Company is the corporate parent of Arizona based CopperPoint Insurance Companies, California based Pacific Compensation Insurance Company, and other CopperPoint insurance entities. All companies are rated A- (Excellent) by A.M. Best.
About Alaska National Insurance Company
Founded in 1980, Alaska National Insurance Company, www.alaskanational.com, is a leading commercial insurance provider in the western United States. Operating in four regions — Alaska, Pacific Northwest, Inland Northwest and California — the company focuses on workers’ compensation, commercial property and auto, general liability, inland marine, umbrella, crime and other commercial insurance services. The company is rated A (Excellent) by A.M. Best. In 2019, Alaska National Insurance Company was again named to the Property-Casualty Ward's 50® Companies list of top performers, an honor it has earned across nine consecutive years.