Kemper Agrees To Purchase Eagle Insurance Group

The Kemper Insurance Companies has agreed to purchase Eagle Insurance Group, a Seattle-based specialty underwriter of workers compensation. Eagle had sales of $49.8 million and assets of $191.0 million in 1997 and is owned by Services Group of America, a privately held company.

The Group is comprised of two operating companies: Eagle Pacific Insurance Company and Pacific Eagle Insurance Company. Eagle serves business owners in industries with increased hazards for workplace injuries and has a wealth of experience underwriting United States Longshoremen and Harbor Workers insurance.

"The underwriting expertise Eagle brings would be a perfect complement to Kemper's expanding specialty lines operations," said David B. Mathis, Kemper chairman and CEO. "Over the past year, we have diversified our portfolio of product offerings by expanding into such specialty lines as excess casualty and environmental insurance. The acquisition of Eagle is a logical next step toward our continuing objective to expand our portfolio of commercial casualty product offerings."

Kemper's acquisition of Eagle is subject to customary closing conditions, including regulatory approvals in the states of Washington and California. The transaction is expected to close in the third quarter of 1998. If successful, Kemper plans to operate Eagle as a separate and free-standing subsidiary.