Emil Vainshel
WeSure Global Tech has signed a non-binding memorandum of understanding to acquire a small U.S. insurance group, which includes the American insurer U.S. Insurance Company of America (USICOA), for approximately $6.5 million.
According to WeSure, the target group—founded in 2007—includes three wholly owned subsidiaries, the main one being U.S. Insurance Company of America, headquartered in the state of Illinois. The insurer operates across several U.S. states, primarily in property and liability insurance for small and medium-sized businesses. It also holds licenses to sell personal insurance, including auto and home insurance.
In 2024, USICOA reported a profit of around $0.9 million on gross written premiums totaling $4.7 million. In the first quarter, the company recorded a profit of about $0.2 million on premiums of $1.5 million.
The acquisition price specified in the MoU is based on USICOA’s equity, adjusted to its book value in the quarter when the deal is completed, plus an additional $1 million. Under the agreed terms, $2 million of the total consideration will be held in escrow for approximately two years from the closing date, to verify USICOA’s representations and adjust the purchase price based on pending claims.
At the closing date, as defined in the final agreement, full ownership of the USICOA group will be transferred to WeSure or another wholly owned subsidiary. As of this report, the specific acquiring entity has not yet been determined.
The memorandum of understanding is non-binding. Completion of the deal is subject to due diligence, signing of a definitive agreement, and customary closing conditions.
Last month, WeSure Global Tech announced that its wholly owned U.S. subsidiary, WeSure Technologies USA Inc., signed an agreement to acquire the American company Hourly, which specializes in payroll management services for small and medium-sized businesses that primarily employ hourly workers. That deal is expected to be structured as a reverse triangular merger.
Emil Vainshel, Chairman of WeSure Global Tech, stated: “The memorandum of understanding to acquire U.S. Insurance Company of America aligns with our strategy to expand WeSure’s operations outside Israel. The insurer we intend to acquire operates mainly in property and liability insurance for small and medium-sized businesses—an area where we are currently active as an MGA and which we see as having significant business potential for underwriting as well.
This move, if completed, joins the Hourly acquisition we announced last month and represents another step in laying the foundation for our strategic expansion in the U.S. We will continue to grow the group’s operations through acquisitions and mergers, alongside organic growth, to realize the business potential we’ve identified—while maintaining disciplined and responsible management.”
