Forza Insurance Holdings, LLC to Acquire Interboro Insurance Company

Transaction Overview

American Coastal Insurance Corporation (Nasdaq: “ACIC”), the leading provider of Florida commercial residential property insurance, announced that it has entered into a definitive agreement to sell its NY personal lines subsidiary, Interboro Insurance Company (“Interboro”) to Forza Insurance Holdings, LLC (“Forza”)

  • Concurrent with the transaction, SageSure Holdings, LLC (“SageSure”), an affiliate of Forza, entered into a Program Administrator Agreement and a Claims Service Agreement with Interboro
    • SageSure will provide policy administration, underwriting and claims administration services on behalf of Interboro

This transaction aligns with Forza’s strategy to expand into coastal markets while leveraging SageSure’s experience and distribution network

Founded in 2021, Forza is an insurance holding company that oversees the strategic growth of multiple insurance entities including SureChoice Underwriters Reciprocal Exchange (“SURE”) and Elevate Reciprocal Exchange

SageSure is a managing general underwriter specializing in coastal residential and commercial property insurance

  • SageSure offers 50+ competitively priced insurance products in 14 coastal states on behalf of its carrier partners
  • SageSure has over $1.6bn of inforce premium

Interboro is a New York domiciled personal lines carrier and a subsidiary of ACIC, writing homeowners insurance in New York through a network of over 450 independent brokers

  • Interboro has ~$35 million of premium in-force and holds an ‘A‘ FSR from Demotech

Howden Tiger Capital Markets & Advisory Role

HCMA is acting as exclusive financial advisor to Forza in its acquisition of Interboro; key roles and responsibilities include:

  • Intermediating initial discussions between the two parties and assistance in developing proposed transaction structure
  • Reviewing financial projections and underwriting performance of Interboro in extensive detail
  • Financial modeling, valuation analysis, and due diligence on the pro forma operating structure
  • Significant analytical work and insights on the Interboro portfolio and reinsurance structure
  • Integral role in negotiating the key commercial terms of the transaction including prospective arrangement with SageSure

HCMA efforts supplemented by Howden Re’s leading reinsurance and analytics capabilities
Transaction further solidifies HCMA as a market leader in insurance industry M&A and capital markets transactions