Liberty Mutual Group has announced that it finalized its acquisition of Safeco Corporation (“Safeco”) effective September 22.  With the addition of Safeco, Liberty Mutual Group becomes the fifth largest property and casualty insurer in the U.S., with more than $32 billion in direct written premium based on 2007 results for both companies.  Safeco joins Liberty Mutual’s Agency Markets business unit, which now ranks third in personal lines and fifth in commercial lines in the independent agent distribution channel.  The combined surety operation becomes the second largest in the country. Paula Rosput Reynolds will be leaving her job as chairman, president and chief executive officer of Safeco Corp. after a short transition period.

The new Liberty Mutual Agency Markets will provide its products and services through three major operating units and a specialty company. Details are provided in the company’s press release, available here.

September 24, 2008