AmTrust Financial Services, Inc. acquired Total Program Management LLC to expand its esteemed fee-based businesses. AmTrust Financial paid in cash for the buyout.

New York-based Total Program was established in 2005. The company operates as a managing general agency and focuses on the health care industry. Total Program prioritizes on the programs which provide workers’ compensation insurance to the industry. Total Program generated insurance premiums worth $47.1 million in 2015. Notably, AmTrust Financial served as the insurer for most of the premiums written through Total Program.

The latest transaction will allow the Zacks Rank #3 (Hold) P&C insurer to execute its strategy to vertically integrate product distribution along with its expansion plan. The acquirer will be able to improve its workers’ compensation insurance services through this purchase.

Notably, this is the sixth takeover by the company this year. Last month, AmTrust Financial closed the acquisition of N.V, Nationale Borg-Maatschappij and its affiliates from Egeria and HAL Investments. This transaction will enable AmTrust Financial to lay its foundation as the premier surety and trade credit insurance operation.

Following the inorganic route to ramp up one’s growth profile seems a well-accepted strategy among insurers as acquisitions and consolidations rage this space. Recently, Arthur J. Gallagher & Co. (AJG Quick QuoteAJG - Free Report) acquired The Buchholz Planning Corporation. Also, last month, Brown & Brown Inc. (BRO Quick QuoteBRO - Free Report) announced that it has entered into a purchase agreement to acquire all operating assets of Morstan General Agency. Investors may consider another P&C insurance stock like Markel Corp. (MKL Quick QuoteMKL - Free Report) as it carries a Zacks Rank #1 (Strong Buy).

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