CONSHOHOCKEN, PA — NSM Insurance Group has reached a definitive agreement to sell its U.S. commercial insurance division to New Mountain Capital, a prominent investment firm with over $55 billion in assets under management. The transaction, subject to regulatory approvals, is expected to close within 45 days and will mark a significant milestone in NSM’s evolution as a specialty insurance leader.
The sale includes NSM’s portfolio of 15 market-leading niche insurance programs across Property & Casualty, Accident & Health, and Reinsurance. Also part of the agreement is NSM’s retail agency, NSM Insurance Brokers. Following the transaction, these programs and assets will operate as an independent business entity, temporarily retaining the NSM brand until a new identity is established.
“Today, we are excited for this milestone and for New Mountain to help lead the next stage of growth for these well-established specialty insurance brands,” said Geof McKernan, CEO of NSM Insurance Group. “We are extremely proud of the unique portfolio of programs we have built over the last 35 years, providing a profitable and diversified position in today’s competitive marketplace. New Mountain has an impressive track record, and we have the utmost confidence in their expertise, integrity, and commitment to driving NSM forward.”
Under the new ownership, Aaron Miller, currently NSM’s Chief Commercial Lines Officer, will lead the newly independent business as CEO. Miller brings over two decades of industry expertise and has been critical to advancing NSM’s B2B programs since joining the company in 2021. “Today’s announcement signals a new and exciting chapter not just for our team but for our carrier partners, agents, and customers,” Miller said. “Through this transaction, we are poised to become an even more formidable industry leader while creating greater value for our team members and key partners.”
Leadership from New Mountain Capital echoed this optimism. “The NSM team has done a tremendous job building an unparalleled specialty insurance distribution platform,” said Robert Mulcare, Managing Director at New Mountain Capital. “The business has a 35-year track record of market-leading performance, and we are delighted to partner to further build the business into the leading independent commercial insurance MGA in the U.S.”
Sean Donovan, Director at New Mountain Capital, added, “We’re excited by the potential to further accelerate growth through focused investment in the business, the team, and technology, which will drive continued long-term success.”
This landmark transaction highlights the strength of NSM’s specialized approach, which serves more than 20,000 agents nationwide. Carlyle, NSM’s current majority owner, played a significant role in the company’s expansion, supporting investments in technology, operational improvements, and acquisitions over the past three years. Carlyle will retain its interests in NSM’s direct-to-consumer insurance brands and pursue future growth opportunities alongside NSM leadership.
With the transition set to bolster NSM’s standing in the commercial insurance sector, the deal is expected to bring innovation and efficiency to the insurance market. McKernan, along with Bill McKernan, will join the board of the restructured entity to ensure continuity.
This strategic move positions NSM to remain at the forefront of the specialty insurance industry, offering tailored solutions and enabling its continued evolution as a market leader.
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