- An agreement was signed for the transfer of up to $127 million in Non-Life policies in six New England states.
- The commencement of operations will be in Vermont and Maine, which means that the company is now present in 19 states of the United States of America.
MAPFRE USA, MAPFRE’s subsidiary in the United States, has reached an agreement with MiddleOak Insurance to take over up to $127 million of its Non-Life policies in New England.
Specifically, the agreement affects the Automobile and Home lines in the states of Connecticut, Massachusetts, Rhode Island, New Hampshire, Maine and Vermont. It will be the first time that MAPFRE has offered services in the latter two states, which means that the company will now operate in a total of 19 states nationwide.
MAPFRE will offer MiddleOak’s independent agents the option of joining the company’s networks and becoming part of its workforce. Jaime Tamayo, CEO of MAPFRE USA, is delighted with the agreement: “It represents a new step forward in the company’s expansion plans and its efforts to diversify its product portfolio in the USA. We are thrilled to offer MiddleOak agents and clients MAPFRE’s premium quality services and competitive range of products.”
This agreement in New England marks a new milestone in MAPFRE’s expansion plans for the United States, a country with strategic importance in the global expansion of its business.
The headquarters are located in Massachusetts, where MAPFRE USA has a market share of over 27 percent. Nationally, it is one of the top 20 automobile insurance companies, and the USA already contributes 10% of MAPFRE’s global earnings.
Over the next three years MAPFRE plans to expand into three other states: Illinois, Virginia and Wisconsin. Moreover, in the last few months it has launched a Life insurance business and signed agreements with several commercial distributions chains on the West Coast of the USA, which will make it easier to reach the Hispanic population.
As part of this growth process, MAPFRE is actively seeking new distribution networks by opening its own offices and developing tied agents, and is set to launch an online direct insurance company in the near future.
MAPFRE first started operating in the USA in 1993, through MAPFRE ASISTENCIA. In the year 2000 it expanded into the reinsurance business through MAPFRE RE, and in 2008 it closed the biggest acquisition deal in its history with the purchase of The Commerce Group.