Construction News

Fri March 29 2024

Related Information

HSB completes MD takeover

5 Apr 22 Construction insurance company HSB, part of Munich Re, has completed the acquisition of the MD Group of companies,

The deal sees HSB take over a business that includes managing general agent MD Insurance Services, Premier Guarantee Surveyors and the LABC Warranty brand.

HSB said it wanted to expand its insurance offerings within the UK construction sector to create an engineering-led specialist organisation focused on a risk management-led approach.

The deal was first reported last November.

LABC (originally Local Authority Building Control) and Premier Guarantee are two of three main providers of structural warranties for new homes, along with NHBC (the National House-Building Council).

Based in Birkenhead, the MD Group has 443 employees, including a national network of field-based building surveyors. It will continue to operate from Birkenhead and Jacki Goodman will remain as managing director, reporting into HSB’s chief executive, Stephen Worrall, in the new organisational structure. MD founder, chairman and chief executive Gary Devaney, 66 this month, has now retired

Related Information

HSB has had a relationship with the MD Group since 2012, providing specialist machinery inherent defects insurance to customers and more recently primary insurance capacity for its inherent defects insurance facility.

Stephen Worrall said: “This is a great acquisition as it supports our mutual future ambitions and strategy for growth. The combined businesses enhance our strength as a specialist insurer and risk solutions partner.”

Jacki Goodman, managing director of LABC Warranty, added: “We have worked hard to achieve our success and our unwavering commitment to serve the construction sector led us to our position as a leading player in the latent defects insurance market. Becoming part of HSB is both a reward for these efforts and testimony to our ability, reputation, and potential to realise even greater success.”

Most recently filed accounts for MD Insurance Services show a loss of  £5.1m before tax in Covid-hit 2020 on turnover down more than 40% at £41.3m.

Got a story? Email news@theconstructionindex.co.uk

MPU
MPU

Click here to view latest construction news »