Liberty Insurance Berhad acquired 100% of the shares of AmGeneral, while AmBank continues to maintain a 30% stake in the business through the consideration shares that the bank received as part of the transaction. Under the terms of the agreement, which received all necessary regulatory approvals, the members of State Automobile Mutual Insurance Company became mutual members of Liberty Mutual Holding Company Inc. In announcing its intention to buy State Auto in July, Liberty Mutual referred to that company's personal, commercial, specialty and agricultural insurance policy book, and drew particular attention to State Auto's ties to 3,400 independent insurance agencies in 33 states. In 1964, Liberty Mutual Insurance Company began offering life insurance through its Liberty Life Assurance branch.
BOSTON (March 1, 2020) — Liberty Mutual Insurance has completed the acquisition of State Auto Group, a superregional property and accident insurance holding company based in Columbus, Ohio, that distributes personal and small business coverage in 33 states through approximately 3,400 independent agents. However, the Liberty Mutual Group brand usually operates as an independent entity outside the United States, where a subsidiary is often created in countries where the benefits of legally recognized mutual companies cannot be enjoyed. Under the terms of the agreement, the members of State Automobile Mutual Insurance Company became mutual shareholders of Liberty Mutual Holding Company, and Liberty Mutual acquired all of the publicly traded common shares of State Auto Financial Corp. LLC acted as financial advisors and Skadden, Arps, Slate and Meagher & Flom LLP acted as legal advisors to Liberty Mutual in the transaction.
Liberty Mutual was formed in 1912 as the Massachusetts Employee Insurance Association (MEIA), following the passage of a 1911 Massachusetts law requiring employers to protect their employees with workers' compensation insurance. The company, founded in 1912, offers a wide range of insurance products and services, including personal cars, homeowners, workers' compensation, commercial multi-risk insurance, commercial cars, general liability, global specialty, group disability, fire insurance and surety. Founded in 1954, the Liberty Mutual Research Institute for Safety studied the occupational safety and health of workers. The acquisition will expand Liberty Mutual's already strong position in the personal and small business lines of insurance.
The name was changed in 1917 to Liberty Mutual Insurance Company and, through partnerships, the company began offering full-coverage auto policies. The institute's findings are the basis for the safety programs, recommendations and software used by Liberty Mutual loss control consultants to help policyholders improve worker safety. In 2002, the company adopted its current structure of mutual companies, which would allow it to offer shares while remaining an investment company. Liberty Mutual Insurance announced that it has completed the acquisition of State Auto Group, a superregional property and accident insurance company based in Columbus, Ohio.
And Liberty Mutual acquired all of the publicly traded common shares of State Auto Financial Corp.