Global specialty insurer and reinsurer Everest Group has agreed to sell its Canadian retail insurance operations to the Wawanesa Mutual Insurance Company.

The transaction is expected to close in the second half of 2026, subject to regulatory approvals and closing conditions. Terms of the agreement were not disclosed.

In a statement, Everest, whose corporate headquarters are in Bermuda, said the transaction marks another step in Everest’s strategic repositioning and advances its previously announced plan to exit its commercial retail insurance operations.

This follows the sale of Everest’s global retail commercial insurance renewal rights to AIG.

Everest Canada is the company’s largest remaining retail platform, and with this transaction, Everest is “further sharpening its focus on its core reinsurance and global wholesale and specialty insurance businesses”, the company added.

Jim Williamson, chief executive officer of Everest, said: “This transaction represents a strong outcome for both organisations, our shareholders and our colleagues.

“The Canadian retail team has built a high-quality, disciplined portfolio. This agreement enables us to realise compelling value and to transition our colleagues to a growth-oriented organisation committed to expanding its commercial retail presence in the Canadian market.

He added: “Consistent execution against our stated strategy remains a priority. This agreement further aligns our portfolio with our core underwriting strengths and supports our objective of generating sustainable, risk-adjusted returns over time.”

Wawanesa is one of Canada’s largest mutual insurers, with over C$4 billion in annual revenue and assets of C$11.5 billion.

Evan Johnston, CEO of Wawanesa, said: “Everest has built a respected commercial business in Canada, powered by strong talent, deep specialty lines expertise, and a disciplined, entrepreneurial underwriting culture.

“We look forward to welcoming the Everest Canada team and investing in their proven model to further expand our ability to serve more Canadian businesses across an even broader range of industries.”

Advisers to the transaction include Ardea Partners LP, as exclusive financial adviser, and Debevoise & Plimpton LLP and Stikeman Elliott LLP as legal advisers to Everest. TD Securities acted as exclusive financial adviser and Torys LLP acted as legal adviser to Wawanesa.