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Horace Mann to buy businesses from Medical Mutual of Ohio for $240M
The acquisitions include Employee Services and Reserve National Insurance, plus reinsurance of Medical Mutual’s group life and disability unit.
Horace Mann has agreed to acquire several businesses from Medical Mutual of Ohio for an approximately $240 million net purchase price, as Coverager reported. The deal is structured under two separate agreements, with Horace Mann set to acquire Employee Services, LLC and all outstanding shares of Reserve National Insurance Company, while Medical Mutual retains the underlying legal insurance entity.
In addition, Horace Mann will reinsure Medical Mutual’s group life and disability business. Together, the acquired operations and reinsurance arrangement generate nearly $200 million in annual revenue, cover more than one million people across about 7,000 employer relationships, and are distributed through more than 1,000 agents and brokers.
Horace Mann said the transactions are intended to expand its employer offerings and distribution capabilities, while adding high-margin insurance operations and recurring fee-based revenue. The company expects the deals to immediately increase core earnings per share and return on equity.
Timing is also part of the plan, with the Employee Services acquisition expected to close in the fourth quarter of 2026. The Reserve National acquisition and the reinsurance transaction are expected to close in the first quarter of 2027, subject to customary conditions and regulatory approvals, with auto and home insurance available through a partnership with Plymouth Rock Assurance.