Core Specialty to Acquire London Aviation Underwriters and Form Aviation & Aerospace Division

Acquisition Details - Core Specialty Insurance Holdings Inc will acquire London Aviation Underwriters Inc (LAU) in a stock and cash transaction [1] - LAU will become the new Core Specialty Aviation & Aerospace Division, operating as the 18th specialty business unit within the Fronted Programs subsegment [1] - The Fronted Programs subsegment includes the Fronted Casualty Division, Medical Stop-Loss Division, and the new Aviation & Aerospace Division [1] - LAU employees have become employees of Core Specialty effective January 1 2025 [1] - The division will continue to use the LAU brand and StarStone National Insurance Company will remain the policy issuing carrier [1] Leadership and Expertise - Jeff Sutton, President of LAU, will become President of the new Aviation & Aerospace Division of Core Specialty [2] - Jeff Sutton brings over 36 years of experience in the aviation insurance industry, including roles at Avemco, Fidelity & Deposit Company, and Falcon Insurance Agency Inc [2] - Jeff Sutton holds a B S in Aeronautical Science, a J D from Seattle University School of Law, and is a Commercial pilot with MEI ratings [2] Strategic Impact - The acquisition of LAU advances Core Specialty's goal of becoming the leading specialty insurer by adding its 18th specialty business unit [3] - LAU has been Core Specialty's exclusive source of Aviation business, producing $56 million in gross premiums written in 2023 [3] - Core Specialty believes the combination of its capital and balance sheet strength with LAU's industry knowledge will create future growth and opportunities in the aviation and aerospace market [3] Company Overview - Core Specialty offers a diversified range of specialty insurance products for small to mid-sized businesses [4] - The company operates through multiple subsidiaries including StarStone Specialty Insurance Company, StarStone National Insurance Company, Lancer Insurance Company, and Standard Life and Accident Insurance Company [4] - Core Specialty focuses on niche markets, local distribution, and superior underwriting knowledge to provide traditional and innovative insurance solutions [4]