Austbrokers has acquired Shield Underwriting Holdings for an initial payment of $3.62 million – representing 60% of the estimated purchase price based on Shield’s future performance.

The Shield group of underwriting agencies focuses on insurance products for niche businesses. Its annual premiums have exceeded $20 million and will increase the Austbrokers Austagencies underwriting business to about $55 million.

Austbrokers will have access to the Shield Group network as part of the acquisition, notably 5Star Underwriting Agency and MTA Insurance. Austbrokers will be able to offer house accounts for the vehicle dealership sector and insurance packages for motor trades businesses.

“We are pleased to be able to expand our underwriting agency activities with an organisation that has such a strong presence in its niche market of motor dealers, motor trades and commercial and residential property,” Austbrokers CEO Lach McKeough said.