At-Bay, a cyber insurance startup, has acquired At-Bay Specialty Insurance Company, a licensed property and casualty (P&C) insurance carrier from XL Insurance America, for an undisclosed amount.

At-Bay Specialty Insurance Company is an excess and surplus lines P&C insurer licensed in 44 states.

At-Bay will now become a full-stack carrier and the acquisition will accelerate its planned product expansion into additional specialty lines, give it more control over the insurance value chain, and strengthen its position in the wholesale channel.

At-Bay currently offers cyber, technology errors & omissions, and miscellaneous professional liability insurance through wholesale brokers and digital channels. The company has plans to issue policies via its carrier later this year.

Analyst QuickTake: This announcement follows At-Bay’s acquisition of the specialty insurance digital distribution startup Relay in August 2022. The acquisition complemented At-Bay’s digital distribution strategy with a dedicated broker platform and an API to partner with other technology platforms and digital distribution solutions.