Carlyle Group in Talks to Purchase Sedgwick Claims Management

The private equity firm Carlyle Group is in talks to acquire Sedgwick Claims Management Services, the largest U.S. insurance claims service provider, for more than $6 billion, according to news reports. Private equity firms historically have invested in businesses that help companies cut costs by outsourcing large parts of their administrative functions, since such operations can generate strong cash flows.  Carlyle has made a higher offer for Sedgwick than has the buyout firm Hellman & Friedman, a former owner of the company that is also competing to acquire it, sources told the ne...