Independence, employee respect behind Rogers Insurance partnership: Megson FitzPatrick CEO

Rogers’ minority stake in Megson FitzPatrick will grow over time

Calgary-based Rogers Insurance Ltd. is now a minority shareholder in Victoria-based Megson FitzPatrick Inc., which will allow the latter brokerage to remain independent, protect its employees’ jobs and benefit from Rogers’ technological expertise, says Megson FitzPatrick’s CEO.

Jay Tuson says he and his partners had been looking for a long time for an option to partner with a business that would not involve selling the company to a multinational brokerage or an insurer-led brokerage model.

“We have always been looking for that third option and it took us a long time. We have been in discussions with Rogers for a very long time but we basically customized a deal that puts our people and our customers first,” Tuson tells Canadian Insurance Top Broker.

Rogers currently holds a minority stake in the company but that will likely change over time. “There is a plan over a period of time where they will accumulate more shares in our organization as we have some existing shareholders that get closer to retirement,” Tuson says.

All Megson FitzPatrick employees staying put

The partnership came with a promise to Megson FitzPatrick’s employees that no one would be let go following the transaction and that the collaboration with the larger Rogers brokerage business would bring more scale and access to resources. Megson FitzPatrick numbered slightly more than 100 employees prior to the partnership and now stands at more than 500 with the addition of Rogers, says Tuson.

Rogers was recently named one of Canada’s top small and medium employers and the way they treat their employees was one of the deciding factors in making the move, according to Tuson, who says that he appreciated that Rogers allows employees to own shares within the company.

The larger scale will also allow Megson FitzPatrick to expand the number of markets to which it has access, says Tuson, and that will be good for the company’s clients.

Independence and technology

Rogers’ involvement in the Canadian Broker Network (CBN) is also an important factor. The CBN is “progressive thinking” and working toward protecting the independent broker model, says Tuson.

In addition, Tuson says he is looking forward to borrowing some of Rogers’ strategies in the area of technology. “They’re on the cutting edge of technology and search engine optimization. As the demographic of the insurance buyers is changing, I think it’s really important to be strong in that area,” he explains.

Although there are areas in the Megson FitzPatrick business that will change through this new partnership, brokers and clients should not expect a new name or brand to go along with the transaction. “We’re 50 years old next year. Rogers recognizes the strength of that so that won’t change,” says Tuson.

The partnership between the two companies went into effect on May 5.

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