Zurich American Insurance Company, a prominent provider of insurance products and services to businesses across a wide range of industries, has agreed to buy Special Insurance Services, Inc., a Texas-based program manager that specializes in gap medical and occupational accident insurance. ZAIC’s supplemental health insurance products, which assist organizations and people in better managing medical costs, will be expanded as a result of the acquisition.
Voluntary benefits travel insurance and assistance, gap medical, medical stop-loss, occupational accident, and student accident insurance are among ZAIC’s Accident and Health products for employers and other groups. The purchase of SIS, which is slated to close in early 2022, would help ZAIC extend its capabilities to provide gap medical, occupational accident, and primary employer indemnity insurance products.
Speaking on the acquisition, David Fike, Head of Life, Accident and Health for ZAIC, said, “as medical costs continue to increase, employers are seeking solutions that enable migration to higher deductible major medical plans while ensuring healthcare affordability for workers.
“Gap medical is gaining popularity because it can help employees cover their deductibles and coinsurance, reducing out-of-pocket expenses. Through the acquisition of SIS, ZAIC can build our capacity to deliver high-quality supplemental health products like this — products that businesses and workers need, desire and deserve.”
Small and midsize businesses may rely on SIS to develop, underwrite, market, and administer speciality insurance solutions. Since 1987, SIS has been overseeing programs and now offers administrative solutions to over 5,000 businesses and their employees, with an annual premium of around $55 million.
Also speaking on the deal was SIS President, Philip Rearick. He said, “Zurich and SIS share a commitment to listening to the needs of the marketplace and putting customers first.
“That’s one reason our talented team at SIS looks forward to joining the Zurich family and amplifying our positive impact. Together, we will help solve some of the most pressing health challenges that businesses and individuals face today.”