GLEN ALLEN, Va.—A founder of Hilb Rogal & Hobbs Co. has launched a new middle-market insurance brokerage and aims to be a dominant East Coast player through an aggressive growth-by-acquisition strategy, its president and CEO said Tuesday.
The Hilb Group L.L.C. is being be led by HRH founder Robert H. Hilb and his son, former HRH Vp Robert J. Hilb. The elder Mr. Hilb, who retired from HRH in 1999, will serve as chairman of the Hilb Group and the younger Mr. Hilb will serve as president and CEO.
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The move comes two years after Willis Group Holdings Ltd. acquired HRH in a $2.1 billion deal. While Willis briefly renamed its North American operations Willis HRH, it reverted to Willis North America last year.
The new Richmond, Va.-based firm also announced its first two acquisitions Tuesday. In a statement, the company said it had acquired Bay Shore, N.Y.-based retail agency J.J. Jerome Associates/EAI Inc.
In addition, it also has acquired the employee benefits and management liability book of business of Charlotte, N.C.-based independent broker Joseph Caruso. Mr. Caruso, previously with Willis Group Holdings in New York, will lead Hilb Group’s financial services practice, the company said.
Combined, the acquisitions total about $3.5 million in annualized revenue. Terms of the deals were not disclosed.
Although the Hilb Group was incorporated in the first quarter of 2009, the firm formally launched this month after securing investors and seeking acquisitions, the younger Mr. Hilb said.
It is pursuing additional acquisitions, initially along the East Coast, where it aims to be a “dominant player,” he said. In addition, the firm intends to differentiate itself with a high degree of specialization.
“We think there is tremendous opportunity in this space,” he said.