Economical Insurance continues demutualization preparation with Mattei sale

Economical Insurance of Waterloo, Ont. announced Monday the sale of the principal operating assets of Seattle-based Mattei Insurance Services Inc.

 The sale, to Alteris Insurance Services Inc., is aligned with Economical’s “ongoing preparations for demutualization,” chief financial officer Philip Mather stated in a press release.

Economical previously reported it is analyzing market conditions for a potential initial public offering of stock and is preparing to proceed with demutualization. The 141-year-old firm plans to submit a demutualization proposal to its mutual policyholders once the federal finance department completes demutualization regulations.

The company did not release financial terms of the sale of Mattei’s assets to Boston-based Alteris, a subsidiary of Argo Group International Holdings Ltd.

In addition to Economical, the firm’s brands include Western General, Perth Insurance and Federation Insurance.