Core Specialty Completes LAU Acquisition
Deal News | Jan 20, 2025 | Re-Insurance News
Core Specialty announced its completed acquisition of London Aviation Underwriters, Inc. (LAU), a transaction that enhances its aviation and aerospace division. Founded by Michael E. Charlesworth in 1980, LAU is known for handling general aviation risks, airport premises liability, and non-owned aircraft liability across the US. As Core Specialty's 18th specialty business unit, LAU will operate under its existing brand, with policies issued by StarStone National Insurance Company. Jeff Sutton has been appointed to lead the division, effective January 1, 2025. LAU, which historically was Core Specialty's exclusive Aviation business provider, reported $44 million in gross premiums written in 2024. The acquisition aims to leverage Core Specialty's capital and balance sheet strength with LAU's industry expertise to foster growth in the aviation and aerospace market.
Sectors
- Insurance
- Aviation and Aerospace
Geography
- United States – Both Core Specialty and LAU operate primarily within the US market.
Industry
- Insurance – The acquisition involves two companies operating within the insurance industry, specifically in aviation and aerospace.
- Aviation and Aerospace – LAU specializes in aviation risks, and the acquisition aims to expand Core Specialty's presence in this sector.
Financials
- $44 million – Gross premiums written by LAU in 2024.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Core Specialty | Buyer | Company | An insurance company expanding its aviation division through strategic acquisitions. |
| London Aviation Underwriters, Inc. | Target Company | Company | A US-based company specializing in general aviation risks and liabilities. |
| StarStone National Insurance Company | Policy Issuing Carrier | Company | The entity that will continue issuing policies for LAU post-acquisition. |
| Jeff Sutton | President of the Aviation & Aerospace Division | Person | Appointed to lead Core Specialty’s Aviation & Aerospace Division. |
| Jeff Consolino | Founder, President, CEO of Core Specialty | Person | Executive leader of Core Specialty who commented on the strategic importance of the acquisition. |