SANTA MONICA — Houston-based HCC Holdings has acquired L.A.-based underwriting agency CineFinance, which specializes in completion bonds for movie and TV studios worldwide. Financial details of the deal were not disclosed.
Fred Milstein, president and chief exec of CineFinance, will remain with the company after the closing of the deal, which is expected by year’s end.
CineFinance has underwriting representation of various Lloyd’s syndicateds, and anticipates increasing its biz substantially with the additional capacity and strength of HCC. Written premium volume is expected to reach $25 million over the next few years.
CineFinance majority shareholder Ned Gurevich also owns Entertainment Risk Agency, an underwriting entity that provides property, casualty and cast insurance for domestic and international studios.
Jim Berger, exec VP and a shareholder in CineFinance, is senior veepee of ERA.
Both execs will join the newly formed ASU Entertainment division, part of HCC subsid ASU Intl.
The ASU entertainment arm will be based in New York and anticipates writing some $25 million in premium in 2005.
HCC is an international insurance holding company and has been a leading specialty insurance group since 1974. Based in Houston, with offices in the U.S., Bermuda, England and Spain, it has assets of more than $5 billion.