Elephant Insurance is leasing additional space in Deep Run I, where it moved its headquarters in 2014. (Courtesy CBRE|Richmond)
A Henrico-based auto insurer is stomping into new territory and expanding its footprint, both nationally and locally.
Elephant Auto Insurance announced Wednesday it is now licensed to sell policies in Indiana and Tennessee, adding to its underwriting service area that includes Virginia, Maryland, Illinois and Texas.
The expansions are the company’s first in five years.
To accommodate those moves, the company is also expanding its footprint locally, subleasing an additional 22,000 square feet of office space at Deep Run I, where it moved its headquarters in late 2014.
The addition increases the company’s space by about 40 percent, bringing its square footage to 76,000 and allowing room to grow by another 100 employees, said Elephant CFO Tim MacAleese. The company subleases its space from Deep Run I tenant Allianz Global Assistance.
Elephant CEO Kevin Chidwick (right) spoke at Robins School of Business’ C-Suite Conversation series in February on the University of Richmond campus. (Jonathan Spiers)
MacAleese said the moves into Indiana and Tennessee have been in the works for two years. They don’t involve a physical presence in either state for the company, which, as a direct insurer, reaches customers directly by phone and the Internet.
MacAleese said Indiana and Tennessee ranked high on the company’s list of states to expand into, with the ultimate goal of selling insurance nationwide. Considerations included direct marketing capabilities, consumer interest, and the states’ regulatory, claims and judicial environments.
“All these things need to be considered in terms of choosing where you want to do business,” MacAleese said. “For us, it was a combination of all those factors, and we’re very excited to be there.”
Wednesday’s announcement noted that Indiana and Tennessee add 8.7 million drivers to Elephant’s potential customer base.
As a direct insurer, MacAleese said Elephant’s entry into Indiana and Tennessee depended on marketing. After a soft launch in June to test market reaction, he said the company began accepting new business and advertising on a larger scale.
“It takes a long time to launch in a new state,” he said.
MacAleese said Elephant has been admitted to do business in other states but has not launched operations in those states yet. Because auto insurance operates at the state level, he said, expansion can occur only state by state.
The moves extend the reach of the fast-growing company, which entered the U.S. market in 2009. A subsidiary of United Kingdom-based Admiral Group PLC, whose brands include a UK version of Elephant and locally based Compare.com, the company has grown from about 45 employees in 2009 to more than 600 today, prompting its move to Deep Run I from an office space near Innsbrook.
Last year, the company joined the top 100 auto insurers in the country. It is currently the 91st-largest auto insurer in the U.S., according to Admiral’s midyear results report. MacAleese said the company is the 15th-largest in Virginia.
“We’d like to keep climbing up those ranks,” he said.
In a statement, CEO Kevin Chidwick said the company would be adding to its workforce as it expands to more states. The company is currently hiring for pricing analysts, developers and claims appraisers.
According to Admiral’s midyear report, Elephant insured about 150,000 customers as of June, up 24 percent from the previous year.
Elephant Insurance is leasing additional space in Deep Run I, where it moved its headquarters in 2014. (Courtesy CBRE|Richmond)
A Henrico-based auto insurer is stomping into new territory and expanding its footprint, both nationally and locally.
Elephant Auto Insurance announced Wednesday it is now licensed to sell policies in Indiana and Tennessee, adding to its underwriting service area that includes Virginia, Maryland, Illinois and Texas.
The expansions are the company’s first in five years.
To accommodate those moves, the company is also expanding its footprint locally, subleasing an additional 22,000 square feet of office space at Deep Run I, where it moved its headquarters in late 2014.
The addition increases the company’s space by about 40 percent, bringing its square footage to 76,000 and allowing room to grow by another 100 employees, said Elephant CFO Tim MacAleese. The company subleases its space from Deep Run I tenant Allianz Global Assistance.
Elephant CEO Kevin Chidwick (right) spoke at Robins School of Business’ C-Suite Conversation series in February on the University of Richmond campus. (Jonathan Spiers)
MacAleese said the moves into Indiana and Tennessee have been in the works for two years. They don’t involve a physical presence in either state for the company, which, as a direct insurer, reaches customers directly by phone and the Internet.
MacAleese said Indiana and Tennessee ranked high on the company’s list of states to expand into, with the ultimate goal of selling insurance nationwide. Considerations included direct marketing capabilities, consumer interest, and the states’ regulatory, claims and judicial environments.
“All these things need to be considered in terms of choosing where you want to do business,” MacAleese said. “For us, it was a combination of all those factors, and we’re very excited to be there.”
Wednesday’s announcement noted that Indiana and Tennessee add 8.7 million drivers to Elephant’s potential customer base.
As a direct insurer, MacAleese said Elephant’s entry into Indiana and Tennessee depended on marketing. After a soft launch in June to test market reaction, he said the company began accepting new business and advertising on a larger scale.
“It takes a long time to launch in a new state,” he said.
MacAleese said Elephant has been admitted to do business in other states but has not launched operations in those states yet. Because auto insurance operates at the state level, he said, expansion can occur only state by state.
The moves extend the reach of the fast-growing company, which entered the U.S. market in 2009. A subsidiary of United Kingdom-based Admiral Group PLC, whose brands include a UK version of Elephant and locally based Compare.com, the company has grown from about 45 employees in 2009 to more than 600 today, prompting its move to Deep Run I from an office space near Innsbrook.
Last year, the company joined the top 100 auto insurers in the country. It is currently the 91st-largest auto insurer in the U.S., according to Admiral’s midyear results report. MacAleese said the company is the 15th-largest in Virginia.
“We’d like to keep climbing up those ranks,” he said.
In a statement, CEO Kevin Chidwick said the company would be adding to its workforce as it expands to more states. The company is currently hiring for pricing analysts, developers and claims appraisers.
According to Admiral’s midyear report, Elephant insured about 150,000 customers as of June, up 24 percent from the previous year.