Acrisure acquires Tulco’s AI insurance business for $400 million

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Greg Williams, co-founder, CEO and president of Acrisure Courtesy Acrisure

After partnering last year with Tulco, a holding company in the tech industry, to create a new artificial intelligence insurance platform, Acrisure acquired the company’s entire AI insurance practice in a $400 million deal.

Caledonia-based Acrisure said it acquired Pittsburgh-based Tulco LLC’s insurance practice to bring best-in-class data science, AI and machine learning capabilities to the insurance brokerage industry.

The deal, which was conducted as a stock-for-stock trade resulting in Tulco becoming a significant minority shareholder in Acrisure, was announced by Greg Williams, co-founder, CEO and president of Acrisure, and Thomas Tull, chair and CEO of Tulco.

Williams and Tull said the transaction will enable deployment of “insurtech at scale,” as it combines the global distribution power of Acrisure with the proven AI expertise of Tulco.

“Businesses that succeed in the medium to long term must be nimble, data-rich and digitally oriented,” Williams said. “The transaction with Thomas Tull and the Tulco team accelerates our ability to do all of the above.”

The announcement builds on a yearlong partnership between Acrisure and Tulco. In 2019, the two firms formed Altway Insurance, a fully AI-backed brokerage focused initially on individual health benefits. Since its launch, Altway has seen success, with 24 consecutive weeks of 10% or greater week-over-week growth.

“We’ve worked with the Tulco team for almost a year, and our vision for Acrisure and the industry are completely aligned,” Williams said. “We’re very pleased to be working with the entire Tulco team as we take this transformational step with like-minded entrepreneurs. I’m excited about what we will create together.”

At Acrisure, Tull will be involved in the strategic direction of the company as the chair of the newly created Acrisure Technology Group. He will assist in attracting and retaining talent to help transform Acrisure “into the insurance brokerage industry’s leading data-rich and technology-enabled company.”

“A significant amount of capital has been deployed into insurtech, but we have a truly unique opportunity for scaled transformation as we layer AI into current processes,” Tull said. “Partnering with Acrisure over the past year and implementing the tech has given me the confidence and excitement that we will do things that are highly impactful.”

Existing Tulco board members Jim Breyer, founder and CEO of Breyer Capital; A.G. Lafley, former chair, president and CEO of Procter & Gamble; and Anthony Foxx, chief policy officer at Lyft and former U.S. Transportation Secretary under President Obama; will serve as advisers to Acrisure.

Other key leaders include Brendan McCord, who will become president of the Acrisure Technology Group, and Marty Willhite, who will serve as a strategic adviser.

Grand Rapids-based Varnum LLP represented Acrisure in the deal with a team led by corporate partners Michael Wooldridge and Seth Ashby.

Acrisure

Founded in 2006, Acrisure provides insurance services and risk solutions through its global network of agency partners.

Acrisure has completed over 500 acquisitions during the past several years. Now a top 10 global broker, the company has locations across six countries, over $2 billion in revenue and is 85% employee-owned.

Tulco Holdings

Founded in 2017 by Tull, a former Hollywood film executive, Tulco is an alternative investing platform structured as a holding company.

It uses a partnership model between its subsidiaries and Tulco’s in-house AI lab to combine capital, management expertise and AI resources to achieve scalable growth within underserved industries.

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