According to InsurTech Insights, TMA decided to leave the California personal lines insurance market owing to sustainability issues, which prompted this partnership.

Mercury Insurance is collaborating closely with independent insurance agents in California to guarantee a smooth transfer of clients from TMA to Mercury. In order to expedite the changeover process, Mercury has extended appointments to more than a dozen TMA agents as part of the agreement.

Mercury Insurance is well-known for its extensive selection of insurance products and commitment to serving the various needs of clients throughout California. Focusing on customer satisfaction and providing exceptional service, Tokio Marine America is an insurance specialist for both personal and commercial lines.

Mercury's CEO and director, Gabriel Tirador, stated: "Challenging times give rise to innovative solutions." The aim of this initiative was to provide coverage for California insurance consumers by bringing together a broad set of organizations. We firmly think that California will prosper in the future. Through the Commissioner's "Sustainable Insurance Strategy," Commissioner Lara and the California Department of Insurance are modernizing the insurance industry. These efforts will help stabilize the market and provide an open, long-lasting model that will benefit the state's customers.

"We are pleased to have reached an agreement with Mercury Insurance Group to support our personal lines agents and customers during this transition period," stated Daisuke Ugaeri, Chief Executive Officer of Tokio Marine America. Tokio Marine America is still dedicated to serving commercial lines in California and the rest of the nation, as well as providing our agents and clients with top-notch assistance during this change.

The Vice President and Chief Sales Development Officer of Mercury, Brandt Minnich, continued, saying, "Tokio Marine America clients are comparable to ours in terms of their coverage needs and their connections with insurance agents. We started collaborating with TMA in January 2024 to assemble a strong team of independent agents who could help clients who were interested switch their policies to Mercury, guaranteeing ongoing coverage.