(Corrects annual premiums in paragraph 1 to over C$2 billion, from $2 billion)
May 2 (Reuters) - Canadian insurer Intact Financial Corp IFC.TO said it would buy OneBeacon Insurance Group Ltd OB.N for $1.7 billion, creating a North American specialty insurance company with over C$2 billion ($1.46 billion) of annual premiums.
The $18.10 cash offer represented a 15.3 percent premium to OneBeacon's Tuesday close. ($1 = 1.3710 Canadian dollars)