Wells Fargo & Co. may be shedding its crop insurance business, Reuters said last week.
The banking company is putting wholly
owned subsidiary Rural Community Insurance Services (RCIS) up for auction, and a sale
could bring in more than $1 billion, sources familiar with the situation told the news service.
Potential buyers include
Bermuda-based PartnerRe Ltd., Axis Capital Holdings Ltd., Muenchener
Rueckversicherungs Gesellschaft in Muenchen AG and Allianz SE, sources
told Reuters.
"Wells Fargo regularly evaluates the strengths and strategic fit for each of its businesses," Wells Fargo spokesman Josh Dunn said. "As our model continues to evolve, we are more focused on increasing cross sell and growing the distribution side of the insurance business.
"As a result, we are considering strategic options for Rural Community Insurance Services that may include a sale of the crop insurance business, excluding the Wells Fargo Insurance Crop Agency," Dunn said.
RCIS is one of the biggest crop insurance
providers in the nation, offering insurance to protect America's farmers
and ranchers against natural disasters and severe weather, such as drought,
hail and floods. RCIS has about 1,300 team members around the nation. Based in Anoka, Minnesota, the business has regional offices in
Winston-Salem, North Carolina; Sioux Falls, South Dakota; and Fresno, California.
More Stories
- CALIFORNIA DEPARTMENT OF FOOD & AGRICULTURE: CDFA Announces one Vacancy on the Citrus Pest and Disease Prevention Committee
- AMERICAN FARM BUREAU FEDERATION: Support Ag Literacy Through the AFB Foundation for Agriculture’s Online Silent Auction
- AMERICAN FARM BUREAU FEDERATION: Farm Bureau: Members Accept Leadership Roles on National Committees
- CALIFORNIA DEPARTMENT OF FOOD & AGRICULTURE: CDFA Office of the Farm to Fork Invites Application for 2021 Farm to School Grants
- CALIFORNIA DEPARTMENT OF FOOD & AGRICULTURE: CDFA Awards Funding to Support Agricultural Education and Leadership Opportunities as part of the Calag Plate Program
- AMERICAN FARM BUREAU FEDERATION: AFBF Welcomes Nomination of Katherine Tai for U.S. Trade Representative
- CALIFORNIA DEPARTMENT OF FOOD & AGRICULTURE: CDFA Announces Vacancies on Feed Inspection Advisory Board Technical Advisory Subcomittee
- AMERICAN FARM BUREAU FEDERATION: AFBF Stands-Up for Farmers in Predatory Shakedown
- CALIFORNIA DEPARTMENT OF FOOD & AGRICULTURE: CFDA Issues Stop Use Notice and Statewide Quarantine on Organic Fertilizer AGRO Gold WS
- AMERICAN FARM BUREAU FEDERATION: Registration Open for American Farm Bureau Virtual Convention, Featuring Mike Rowe, Rorke Denver and Beth Ford