Church Mutual Insurance Company (CMIC), the nation’s largest insurer of religious organizations, has agreed to acquire the insurance operations of the Pennsylvania School Boards Association (PSBA).
Under the acquisition agreement, CMIC will acquire School Boards Insurance Company of Pennsylvania, Inc. (SBIC), and School Claims Services, LLC (SCS). SBIC, based in Mechanicsburg, Pa., writes specifically tailored types of coverage, including property, general liability, boiler and machinery, commercial auto, errors and omissions (School Leaders Legal Liability), or excess liability and workers’ compensation to meet the needs of its Pennsylvania public schools policyholder base. SCS, based in New Cumberland, Pa., provides third-party claims administration, risk management services, as well as employee benefits programs and marketing.
“This agreement is a win-win for Church Mutual and the Pennsylvania School Boards Association’s insurance operations,” said Mike Ravn, chief executive officer of CMIC. “In an effort to diversify holdings and increase financial stability, Church Mutual and SBIC are unifying to expand expertise and enhance value in serving schools and other organizations critical to their communities.”
“This agreement in no way diminishes Church Mutual’s commitment to religious organizations,” said Rich Poirier, president of CMIC. “CMIC’s experience in insuring religious schools makes it duly qualified to help Pennsylvania school organizations mitigate risk and restore loss.”
“CMIC and SBIC share a compatible and complementary mission and a culture dedicated to protecting our members,” said Nathan Mains, PSBA executive director. “We look forward to this next evolution in providing our members with the highest quality insurance products and service available.”
Terms of the agreement were not disclosed. It is anticipated the acquisition will close during the second quarter of 2016, on or about April 1.