Toronto-based insurance giant Royal & SunAlliance Canada Group has acquired Vancouver's Canadian Northern Shield Insurance Company from the CUMIS Group Ltd. for $75 million.
The deal, which must still secure regulatory approvals, would make Royal & SunAlliance Canada's sixth largest property and casualty insurance.
Canadian Northern Shield is an intermediated insurer in B.C. It had more than 200 brokers and annual premiums of approximately $164 million in 2006.
CUMIS sold the company as part of its plan to focus on serving credit unions in Canada. In addition to owning its own life insurance and general insurance companies, CUMIS has a 50% interest in Credential Financial Inc., a national wealth management company that services Canadian credit unions.