The deal, valued at R1.6 billion, will help MMI diversify its business and "enable further growth".
"We have been a leader in the specialised insurance industry since our inception and we look forward to unlocking synergies and providing great products and services to our current and future clients. Our highly experienced employees will also have the opportunity to contribute their unique skill set to MMI," said Herman Schoeman, Guardrisk's Managing Director, in a statement on the company's website.
MMI will fund the cash acquisition of Guardrisk from its "capital buffer," the Johannesburg-based company said.
The conclusion of the transaction is subject to regulatory approvals by the Financial Services Board and the competition authorities.
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