Honan Insurance sold to US giant

New York-headquartered Marsh will acquire Australian insurance broker Honan Insurance Group in a deal that further bolsters the global firm's presence in the state. 

On Monday, the companies announced they had entered a transaction under which Marsh - a subsidiary of global professional services firm Marsh McLennan - would buy all shares in Honan Insurance Group.

Founded in Melbourne in 1964, Honan has established 10 offices across Australia, New Zealand Singapore and Kuala Lumpa, employing approximately 400 people. 

According to Data & Insights, Honan employs approximately 12 people in Western Australia out of its office on Mill Street in Perth and has had a presence in the state since 2011.

The merger is still in its early stages, but it's understood WA is a key area of focus for Marsh, which sits atop Data & Insights insurance brokers list. 

The transaction comes several months after Marsh announced it had acquired Stirling-based Austral Risk Services, in a deal that took Marsh's number of brokers in the state to about 175.

Commenting on the Honan Insurance transaction, Marsh's pacific chief executive Nick Harris said the deal would deepen the company's expertise for clients in the local market. 

"We have the highest regard for the management and team at Honan and, together, we will provide a best in class suite of solutions to our clients. We look forward to welcoming Andrew and his team to Marsh," he said. 

A value for the transaction was not disclosed.