ERGO Group AG ("ERGO") today announced the successful completion of the full acquisition of NEXT Insurance by Munich Re Group. Consequently, NEXT Insurance is now embedded within the management structure of ERGO, the major primary insurance business of Munich Re.
All conditions required for the closing of the transaction have been satisfied by the companies according to schedule, including the required regulatory approvals.
Through this transaction, ERGO enters the world's largest insurance market, tapping the appealing U.S. small and medium-sized businesses (SMB) segment. NEXT Insurance will complement ERGO's business capabilities through its proprietary technology stack and its fully digital, automated underwriting/pricing platform. In turn, ERGO will support NEXT Insurance's business growth by leveraging its technical excellence and insurance know-how.
"Today's transaction closing represents an important milestone in establishing ourselves as a relevant insurance provider in the USA. Together with NEXT Insurance, we will seize the considerable growth potential offered by this attractive market as we expand our existing business portfolio. Through the combination of NEXT Insurance's technologically driven, successful market approach and ERGO's insurance expertise, we will deliver profitable growth and added value for all our stakeholders," comments Markus Rieß, Chief Executive Officer of ERGO Group AG.
Founded in 2016 and headquartered in Palo Alto, California, NEXT Insurance is a leading technology-first Property Casualty insurer focusing on the specific needs of U.S. small business owners. The company offers simple, digital insurance coverage, including General Liability and Workers' Compensation. Since its creation, NEXT Insurance has witnessed significant growth and generated a top line of $548 million in 2024. Today, the company serves more than 600,000 customers and counts around 700 employees.
The signing of the definitive agreement by Munich Re and NEXT Insurance was announced on March 20, 2025. The definitive agreement had been concluded at a valuation of $2.6 billion for 100 percent of NEXT Insurance's shares. Prior to the transaction, ERGO Group AG was already a major shareholder of NEXT Insurance, holding around 29 percent of the company's outstanding share capital. The initial announcement can be found here.
About ERGO Group AG
ERGO is one of the major insurance groups in Germany and Europe. The Group is represented in over 20 countries worldwide, with a focus on Europe and Asia. ERGO offers its retail and corporate customers a broad product portfolio in all the main classes of insurance as well as comprehensive assistance and other services. Three units operate under the umbrella of ERGO Group AG: ERGO Deutschland AG, ERGO International AG and ERGO Technology Services Management AG. The German and international businesses as well as the global management of IT and technology services are organized in these units. About 37,000 people work either as salaried employees or self-employed sales representatives for the Group. In the 2024 financial year, ERGO generated insurance revenue of 20.8 billion euros and a net result of 791 million euros. ERGO is part of Munich Re, one of the world's leading reinsurers and risk carriers. More at www.ergo.com.
About NEXT Insurance
NEXT Insurance is a leading digital insurer transforming small business insurance with simple, digital coverage tailored to the self-employed. Trusted by over 600,000 business owners, NEXT offers policies that are easy to buy and provides 24/7 access to purchasing and servicing, including Certificates of Insurance, additional insured, and more, with no extra fees. Revolutionizing a historically complicated insurance industry, NEXT utilizes AI and machine learning to simplify the purchasing process. Founded in 2016, the company is headquartered in Palo Alto and has received over $1 billion in venture capital funding. The company has also been recognized by CNBC Disruptor 50, Forbes Fintech 50, Inc.'s Best-Led Companies, and Forbes Best StartUp Employers. For more information, visit NEXTInsurance.com. Stay up to date on the latest with NEXT on X, LinkedIn, Facebook and our blog.
Disclaimer
This media information contains forward-looking statements that are based on current assumptions and forecasts of the management of ERGO Group. Known and unknown risks, uncertainties and other factors could lead to material differences between the forward-looking statements given here and the actual development, in particular the results, financial situation and performance of our Company. The Company assumes no liability to update these forward-looking statements or to conform them to future events or developments.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250701573954/en/
Contacts:
Media Contacts:
Mirko-Alexander Kahre
ERGO Group AG
Head of Global Corporate Communications
ERGO-Platz 1
40477 Düsseldorf
Phone: +49 211 477-3025
Mobile: +49 173 3869 166
Mirko-Alexander.Kahre@ergo.de
media-relations@ergo.de
Anat Harel
NEXT Insurance, Inc.
Director, Digital Marketing
975 California Ave
Palo Alto, CA 94304
650-512-7303
pr@nextinsurance.com
