The United Heritage Financial Group holding company, based in Meridian, has acquired Merced Property and Casualty Co. of California in a purchase that gave the Idaho company 94 percent of Merced's stock.
"We feel that Merced adds value to United Heritage and, that over time, will position us as a stronger insurance provider nationally," said Dennis L. Johnson, president and CEO of United Heritage.
Merced is the third company added to United Heritage since 2000, through one merger and two stock acquisitions. The company now owns United Heritage Life Insurance Co., United Heritage Property and Casualty Co. and Sublimity Insurance Co. The companies average about a century old and provide insurance to policyholders in dozens of states. Sublimity, based in Sublimity, Ore., is the oldest of the companies and offers property and casualty insurance.
Merced was founded in 1906 by a group of farmers. It provides homeowner and residential fire insurance to people in parts of California, and it plans to start offering auto insurance in the future.
Johnson said the financial terms of the transaction are confidential. He said the holding company's business model "would certainly allow us the opportunity" to acquire more businesses, but that United Heritage is not planning any such deals in the immediate future.
About United Heritage Insurance:
- Headquarters: 707 E. United Heritage Court, Meridian
- Employees: 165, including 120 in Meridian
- Combined premiums in 2012: $119 million
- Combined net income for 2012: $9.6 million
- Combined assets: $593 million
- Policies sold by: About 1,700 agents or agencies