Harleysville Group Inc Company Profile and Background

Harleysville Group Inc is a leading insurance company with a rich history dating back to 1917. It was founded by a group of local businessmen in Harleysville, Pennsylvania.

The company has undergone significant changes over the years, with its first major acquisition happening in 2002. This marked the beginning of a period of rapid growth and expansion for Harleysville Group.

Today, the company operates as a subsidiary of Nationwide Mutual Insurance Company, a move that was finalized in 2012. This partnership has enabled Harleysville Group to tap into Nationwide's extensive resources and expertise.

Harleysville Group's commitment to providing excellent customer service has earned it a loyal customer base and a reputation as a trusted insurance provider.

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Harleysville Group has a rich history that spans over a century. It was founded by Alvin C. Alderfer in 1917, initially as the Mutual Auto Theft Insurance Company and the Mutual Auto Fire Insurance Company.

The company's early years were marked by significant changes, including the formation of the Harleysville Mutual Casualty Company in 1922 and a name change to Harleysville Mutual Insurance Company in 1956.

In the 1960s, Harleysville Group underwent major restructuring, bringing all of its companies under one umbrella. This move allowed the company to focus on commercial lines and expand its operations.

Here's a brief timeline of the company's major milestones:

In 1992, Harleysville Group was significantly impacted by Hurricane Andrew, which led to a shift in the company's focus away from homeowners policies. This change resulted in a significant reduction in claims related to homeowners policies.

Today, Harleysville Group operates as a subsidiary of Nationwide Mutual Insurance Company, maintaining its autonomy and commitment to providing insurance services to its customers.

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Harleysville Group has agreed to combine with Nationwide Insurance, a deal worth $1.6 billion.

This combination brings together two best-in-class companies that share a mutual heritage and a focus on meeting the long-term needs of their policyholders. The agreement will strengthen and diversify Nationwide's business, expand its distribution footprint, and increase its property and casualty commercial lines business.

Nationwide is paying $60 a share in cash for Harleysville's publicly owned shares, nearly twice the $31.52 closing price of Harleysville's stock on Wednesday. The deal values Harleysville Group at $1.6 billion.

The combined organization will have a net surplus of about $13.5 billion and direct written premiums totaling $16 billion annually. Nationwide will also acquire all shares of common stock of Harleysville Group at $60 per share in cash.

The Harleysville Group specializes in providing insurance for small and midsize businesses in 32 states, with last year's net profit being $66.9 million on revenue of $986.3 million.

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The Harleysville Group is made up of several key subsidiaries.

The company has a diverse range of subsidiaries, including Great Oaks Insurance Company and Harleysville-Atlantic Insurance Company.

One of the notable subsidiaries is Harleysville Asset Management L.P., which suggests the company's commitment to managing its assets effectively.

The group also includes regional insurance companies such as Lake States Insurance Company and Mid-America Insurance Company.

Harleysville Mutual Insurance Company is another important subsidiary that's part of the Harleysville Group.

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