NU Online News Service, Nov. 26, 2003, 1:21 p.m. EST – Sierra Health Services Inc., Las Vegas, says it has agreed to sell its workers’ compensation subsidiary, California Indemnity Insurance Company Inc., to Folksamerica Holdings Company Inc. for $15.5 million in cash up front and up to $64 million in performance-based payments.[@@]
Sierra hopes to collect the performance-based payments, which will depend on California Indemnity’s claims and other expenses, in January 2010.
The deal is subject to approval by insurance regulators.
Folksamerica is a subsidiary of White Mountains Insurance Group Ltd., Hamilton, Bermuda.
California Indemnity is the parent company of Commercial Casualty Insurance Company, Sierra Insurance Company of Texas and CII Insurance Company.