Arch Insurance North America, a part of Arch Capital Group Ltd., announced that it will be buying the U.S. MidCorp and Entertainment insurance businesses from Allianz Global Corporate & Specialty SE. The deal is valued at $450 million in cash.

This acquisition will help Arch Insurance to grow in the middle-market property and casualty segment. It will also enhance its Entertainment business, adding more specialty products to its portfolio. The businesses being purchased had a total gross premium of $1.7 billion in 2023.

Around 500 employees from Fireman's Fund Insurance Company and its subsidiaries will join Arch Insurance as part of this transaction.

This move will increase the total gross premium written by Arch Insurance in North America, which was $5.8 billion in 2023.

The deal is expected to be finalized in the second half of 2024, pending regulatory approvals.