Unison Risk Advisors acquires $200mn+ GWP wholesale-only MGU Avondale

Unison Risk Advisors has acquired E&S MGU Avondale Insurance Associates, adding its first non-retail business and its fifth platform deal overall, Program Manager can reveal.

Avondale – which was established in 2006 and formerly owned by Bermuda-based Avoca Insurance Holdings – is understood to write around $200mn of GWP split between property and primary general liability (GL), and recently added buffer layer GL capacity.

Sources said the Danny Hinchliffe-led MGU is also understood to be considering an entry into the miscellaneous professional liability market in 2025 as it looks to further enhance its offerings to wholesale broker partners and grow its GWP.

Avondale has long-standing capacity support from an extensive and diversified group of highly rated insurers and reinsurers across the European, Bermudian, London company, Lloyd’s and domestic US markets.

The firm has office locations in Boston, Chicago, Tampa and Manchester, New Hampshire.

Its management team believe in the URA mission and have elected to reinvest a significant portion of the sale proceeds in URA, according to sources familiar with the transaction. MarshBerry acted as exclusive financial advisor to Avondale and Avoca on the transaction.

Privately held and employee-owned insurance brokerage and risk management firm URA was established in December 2020 with the merger of Cleveland-based Oswald Companies and RCM&D of Baltimore. Among subsequent acquisitions was the June 2023 addition of Florida’s NSI Insurance Group.

The group – which is also part of the Assurex Global broker partnership – now comprises more than 1,000 employees across more than 20 office locations. It is estimated to place around $3bn of GWP and has revenues of ~$300mn. Canadian investment group Peloton Capital Management holds a 30 percent stake in URA following a 2022 buy-in which enabled the group to restructure its holdings.

In a statement confirming the transaction, URA said operating as an E&S underwriting management company exclusively supporting wholesale distribution will remain the “sole focus” of Avondale’s business.

URA chairman and CEO Robert Klonk commented: “We are thrilled to welcome Avondale and their associates to Unison Risk Advisors’ employee-ownership model. Avondale will maintain their independence and continue their commitment to deliver industry-leading programs to the wholesale market, while growing URA’s capabilities internationally.”

He added that together the firms will collaborate in technology, innovation and creative underwriting solutions, to “magnify URA’s core mission of driving value for our clients through expanded access to solutions and service excellence”.

Robert Cawley, president and COO of URA, stated: “This is a transformational time for Unison Risk Advisors as we continue to carefully match firms who want to position themselves for growth and perpetuity, bring distinctive industry talent to our teams, and who fit into our shared culture of service and employee ownership.”

Avondale CEO Hinchliffe added: “With URA’s long, distinguished history and commitment to employee ownership, this transaction secures Avondale’s independence, allowing us the opportunity to make long term commitments to our valued wholesale producers and prized insurer relationships.”

Avoca – which is owned by group CEO Andy Carvill – will continue to operate its separate MGAs ATS Underwriting and Orbital.

Carvill, together with Avoca business development head Chris Branch, is expected to continue working closely with Avondale and URA following completion of the transaction.

Program Manager Comment:

An intriguing deal. URA was formed in 2020 with a mission to retain independence amidst a rapidly consolidating US retail marketplace. The acquisition of Avondale gives the group a 100 percent focused wholesale MGU and with it the ability in the future to create new programs accessing E&S capacity. While for Avondale, it arguably secures its independence within an expanding insurance group. One to watch…