SCHAUMBURG -- Zurich American Insurance Co. said it has acquired Rural Community Insurance Agency Inc. and its subsidiary Rural Community Insurance Co.
The two are collectively known as Rural Community Insurance Services, one of the nation's leading crop insurance providers, recording approximately $1.9 billion in gross written premiums in 2015.
Financial terms of the acquisition were not announced.
The acquisition expands and diversifies Zurich's portfolio of commercial insurance products and services in North America. Zurich entered into an agreement with RCIS owner Wells Fargo & Company in December 2015 to acquire the company.
Zurich has been in the U.S. crop insurance business -- a $10 billion plus market -- for more than 20 years. The acquisition shifts its long-standing position from a reinsurer into a 100 percent owner of an approved insurance provider through the Federal Crop Insurance Program.
"As we have worked over the last few months to complete this acquisition, farmers in much of the United States have been preparing for the spring planting season," said Mike Foley, CEO North America Commercial and regional chairman of North America. "During this time, we've had an opportunity to meet the people that make up RCIS and are proud to welcome them to the Zurich team. They bring a national distribution footprint with highly specialized agents and a strong service reputation, insuring one in six farmers in the U.S. We greatly respect their expertise and look forward to having them as colleagues."
RCIS will operate as a stand-alone unit within Zurich North America Commercial's Programs & Direct Markets business unit. RCIS will continue to focus on meeting customer needs and providing the best possible service.