Porch to buy insurer Allied Trust in $200M deal
What's the deal? Porch GroupDealroom has a profile for this one. Try Dealroom → has agreed to acquire regional insurer Allied Trust in a transaction valued at roughly $200 million. Porch's reciprocal exchange will buy Allied Trust's insurance carrier, while Porch Group acquires its managing general agency and captive reinsurance entity.
The terms: The Reciprocal will pay $55 million in cash for the carrier, plus $50 million in deferred consideration over 12 months. Porch Group will pay $95 million for the managing general agency and reinsurance entity — $75 million in cash and $20 million in PRCH shares.
What each side does: Porch Group is a Seattle-based homeowners insurance company. Allied Trust is a regional carrier operating in Louisiana, Texas, South Carolina, and North Carolina, with Louisiana accounting for almost half its 2025 premiums.
What's the endgame? The deal adds roughly $200 million of Reciprocal Written Premium and about $25 million of Adjusted EBITDA in the first full year after closing. It also brings more than a decade of claims data, which Porch plans to combine with its proprietary property data to sharpen pricing, underwriting, and risk selection.
Why now? Allied Trust gives Porch a meaningful presence in Louisiana, a new state for the Reciprocal. Assuming a January 1, 2027 close, Porch expects 2027 results of more than $900 million of Reciprocal Written Premium, over 360,000 Reciprocal Policies Written, and more than $180 million of Adjusted EBITDA.
"Allied Trust is a strong strategic fit for Porch and the Reciprocal, and we are excited about the opportunity to add a high-quality insurance business," said Matt Ehrlichman, chief executive officer of Porch Group.
The fine print: After closing, Allied Trust will operate under Porch's existing structure. The Reciprocal owns the carrier, collects premiums, and pays claims, while Porch Group earns commissions and fees tied to premium and policy volume. Based on expected first-year EBITDA, the deal represents a multiple of less than four times for Porch Group.
The signal: The acquisition, subject to regulatory approval and expected to close in the first quarter of 2027, underscores how insurers are using data and scale to consolidate regional carriers and bolt on underwriting capacity.
Read more: AP News
Image credit: Coast Guard News
