DB Insurance’s Fortegra deal won’t affect balance sheet

The acquisition is expected to deliver profit contributions worth over 20% of overseas premiums.

DB Insurance’s acquisition of US-based Fortegra is not expected to have material impact on the insurer, although it will increase intangible assets held by the insurer in relation to its capital, says AM Best.

Once completed, the acquisition is expected to deliver immediate profit contributions worth more than 20% of premiums generated from overseas business, AM Best noted.

DBI entered into an agreement with Tiptree Inc. and Warburg Pincus LLC to fully acquire Fortegra, for $1.65b (KRW2.3t) funded in cash. The transaction is expected to close in H1 2026.

“Although the acquisition will increase intangible assets to a moderate level relative to its capital, the company’s risk-adjusted capitalisation is expected to remain at the strongest level, which supports DBI’s current balance sheet strength assessment,” according to a 2 October 2025 report.

AM Best said that it expects the acquisition to support DBI’s long-term strategy for sustainable growth by accelerating business diversification across geographies and line of business from its current focus on domestic personal lines business.