Three Things – Busy M&A Week, Accelerant’s New Partnership & Return of Major Funding

Hi Friends!

Greetings from the road! I’m headed to San Diego and the WSIA Annual Marketplace to kick off the fall conference season. Looking forward to the buzzing activity that reflects the growth and energy of the surplus lines and wholesale markets. If you are there, let’s connect and say hello.

This week, we’re following a flurry of M&A deals across multiple segments of the insurance market, investment activity that mirrors this focus, and partnerships between carriers and distributors that continue to help capital find the right risks. We also saw insurers, insurtechs, and others raise funds to fuel innovation, growth, and specialty plays.

Let’s explore the Three Things We Learned…

 [1]

SageSure and Applied Systems Highlight Busy M&A Week

M&A has been a theme all year as the industry consolidates and sharpens its focus. This week was particularly active with several notable announcements. SageSure agreed to acquire Olympus, a Florida insurer with a $700 million coastal homeowners book. This is a big step toward scale for SageSure, who has proven expertise in this niche risk.

On the technology side, Applied Systems announced its acquisition of Cytora, showing that major agency platforms are now joining the movement to add AI-powered underwriting tools, a trend we’ve mainly seen from carrier systems. It will be interesting to see how Applied integrates Cytora to deliver value in the retail distribution segment.

Rounding out the week, EverPeak acquired Method Insurance in workers comp picking up a book of business that fits their specialization, while Lincoln International bought MarshBerry, meaning even an M&A advisory firm has now been pulled into a larger investment banking conglomerate to provide a platform for their niche focus.

All of these deals point to complementary offerings and strategic value. We’ll continue to watch how they reshape the landscape.

 [2]

Accelerant Partners with AF Specialty and Other Moves

Partnerships also tell us a lot about insurers strategies. Accelerant showcased a big one with its new collaboration with AF Specialty to provide capacity for the growing risk exchange. A big move that keeps them in the news cycle following their IPO over the summer. It also gives them assistance scale and growth expanding the capital side.

Meanwhile, Altamont Capital launched Ascendex Underwriters, a new MGA platform in its investment portfolio, which once included Accelerant. And, DUAL announced a partnership with KYND to expand its cyber innovation capabilities. This deal gives DUAL access to KYND’s real-time cyber risk insights, strengthening its ability to underwrite and manage a class of business that continues to grow in both demand and complexity.

Each of these plays reinforces how partnerships are becoming a central lever for growth and specialization.

 [3]

Coterie and Kin Raise Major Funds

We also saw the return of larger funding rounds which have been rarer since in the insurtech landscape the last couple of years. Allianz X made a strategic investment in Coterie, signaling belief in its distribution model for small business insurance. Kin Insurance raised a $50M Series E, rewarding its disciplined growth strategy in the challenging Florida homeowners market.

At the earlier stage, Elysian announced a $6M seed round for its AI-powered claims platform, showing that while funding is more selective, investors remain interested in AI-driven innovation.

These investments reflect the current funding environment: capital is harder to come by, but companies with clear value stories are still able to attract support.