Wells Fargo Makes Yet Another Insurance Acquisition

This is the fourth such purchase for Wells Fargo in the insurance field this fall.

Wells Fargo today announced

Wells Fargo Insurance Services — part of Wells Fargo & Company (NYSE:WFC) — said today it has acquired the EMAR Group, one of the nation’s largest independently-owned commercial insurance agencies, headquartered in Livingston, New Jersey, with an office in Florida. Terms of the agreement were not disclosed.

Founded in 1971 by Emil Solimine in New Jersey, EMAR is a leading local agency in the Tri-state Region. It serves middle market and upper middle market clients as well as risk management customers. The agency works with businesses in diversified industries with a significant concentration in transportation, construction, real estate, and financial institutions industries. EMAR also has access to specialty market programs in small business niches including the limousine services and restaurant industries.

“Risk management is a key product area for our middle market customers and large corporate clients,” said Dave Zuercher, head of Wells Fargo’s International and Insurance Services Group. “EMAR will significantly expand and build on our commercial insurance capabilities on the east coast. It’s another opportunity for Wells Fargo to gain new customers and to achieve our vision of satisfying all of our customers’ financial needs and help them succeed financially.”

“Joining up with the EMAR team will increase our presence significantly in New Jersey,” said Gary Tully, head of Wells Fargo Insurance Services Northeast, Inc. “With our recent acquisition of Herder-Terricone Associates in Three Bridges and the expansion of Wells Fargo Regional Commercial Banking in the Tri-state region, we’re in a strong position to meet even more of the financial needs of New Jersey companies and consumers.”

“We’ve reached a point in the development of our agency that the breadth of products and services provided by Wells Fargo will help bring our business to the next level,” said Solimine. “The majority of our customers have been with us a long time because we bring honest, experienced people to every relationship, a practice we know we can continue as part of Wells Fargo.”

Solimine and his son, David, will continue bringing the EMAR relationship business model to companies in Florida and New Jersey.

Wells Fargo Insurance Services, Inc. (wellsfargo.com/wfis) is the fifth-largest insurance brokerage in the world with 170 offices in 37 states. Its 7,200 insurance professionals place $11.5 billion of risk premiums with expertise in property, casualty, benefits, international, personal lines and life products.

This current banking malaise will pass and when it does, after the Wachovia (WB) buy and these insurance moves, Wells Fargo will be a monster.

JP Morgan (JPM) will be the class of the industry and Citi (C) and Bank of America (BAC) will be the second tier institutions. BAC will struggle with the ramifications of the awful decision to double down on a losing multi billion dollar investment in Coutrywide (CFC) and Citi, well until Citi becomes far less bloated, it will struggle.

Disclosure (“none” means no position):Long WFC, C, none
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