Hudson Structured sells Occam Underwriting stake to Brown & Brown

Hudson Structured Capital Management, the reinsurance, insurtech and insurance-linked securities (ILS) and transportation focused asset manager, has sold its majority ownership stake in London-based specialty lines MGA and Lloyd’s Coverholder Occam Underwriting Limited to Brown & Brown (Europe) Ltd.

Brown & Brown (Europe) Ltd, part of Brown & Brown Inc., one of the largest independent insurance brokerage groups, has agreed to acquire 100% of the share capital of Occam Underwriting for an undisclosed sum, in a deal that has already received regulatory approval.

Occam’s business consists of two specialist MGAs, one focused on International Space risks under the Occam Underwriting brand and one focused on UK Terrorism & Property, under Beech Underwriting.

Hudson Structured Capital Management had originally invested into managing general agent Occam Underwriting back in 2017 when it was called Sciemus.

Rebranded as Occam Underwriting in 2018, the MGA provided Hudson Structured with an origination focused access point to specialist insurance and reinsurance risks from the Lloyd’s market and elsewhere, as well as an equity investment opportunity.

The ILS manager then doubled-down on its investment in managing general agent Occam Underwriting, by taking a majority stake in the company in 2021.

In 2022, Occam Underwriting completed its acquisition of terrorism risk focused MGA Beech Underwriting Agencies Ltd. to expand the business and gain diversification as well.

Occam Underwriting will now be folded into Brown & Brown Europe’s MGA division, which includes Camberford Underwriting and Plum Underwriting and is led by Clive Nathan.

Brown & Brown said that the acquisition underscores its MGA division’s continuing interest in acquiring niche MGAs.

Further explaining that businesses like Occam require long-term vision and commitment, which is a key component of Brown & Brown’s ‘forever’ company ethos.

The sale by Hudson Structured gives the investment manager an exit opportunity and a chance to realise the value created in the specialty MGA business over the period it has been an investor in and owner of it.

Phil Duffin, Director of Space & Aviation at Occam, will continue to lead the Space division, supported by Jack Kenneally (Space Underwriter).

While, Andrew Woodhams (Senior Terrorism Underwriter), supported by Matt Gates (Senior Property Underwriter), will continue in their leadership roles at Beech Underwriting.

“Occam sits exactly in our appetite for specialist underwriters with deep experience of the niches they cover,” explained Clive Nathan, leader of Brown & Brown Europe’s MGA division. “Phil, Jack, Andrew and Matt are highly respected in their twin fields of space and terrorism, and I know that we will be able to build their market presence and expand their capabilities as part of Brown & Brown.”

“We are very proud of the specialist MGA business Occam has created,” Michael Millette, Managing Partner of HSCM Bermuda commented. “We believe that Brown & Brown is the best possible home for Occam to enable the business to make the most of its considerable experience in the next phase of its story.

“Brown & Brown will be excellent custodians for the business, the team, our customers and its people. I wish it well for the future.”

Clive of Brown & Brown Europe also said, “This transaction follows our deal to acquire life sciences specialist Nucleus Underwriting earlier this year, and Occam meets the same criteria; not only focused on niche and specialist but also with an entrepreneurial management team and an appetite to grow.”