In the News
FedNat Insurance Company (FNIC) Policy Assignment to Monarch National Insurance Company (MNIC)
On June 30, 2022, FNHC closed the previously announced transaction in which a group of investors managed by Hale Partnership Capital Management LLC (the “Hale Investors”)
invested $15 million in MNIC in exchange for 60% of MNIC’s common stock. FNHC also invested $10 million into MNIC for the remaining 40% of MNIC’s common stock (such investments are collectively referred to herein as the “Monarch Transaction”).
Therefore, on June 30, 2022, MNIC’s capital and surplus increased by $25 million.
MNIC has assumed, effective June 1, 2022, approximately 78,000 insurance policies issued by FNIC, resulting in MNIC’s policy count totaling approximately 83,000 policies. FNU will continue as managing general agent, including policy servicing and claims administration, for MNIC following the closing.