LONDON, Nov. 24, 2004 (PRIMEZONE) -- Further to its announcement of 25 June 2004, Wellington Underwriting plc (Wellington) is pleased to announce the completion of the purchase of AXA Corporate Solutions Excess and Surplus Lines Insurance Company following the receipt of final regulatory approvals. The company has been renamed Wellington Specialty Insurance Company (Wellington Specialty), and the capital and surplus of the company increased to US$30m through a capital contribution by Wellington.
Based in Scottsdale, Arizona, Wellington Specialty is authorised to underwrite excess and surplus lines business in 33 states and will focus on small direct, general agency produced, commercial casualty and property business. It is anticipated that underwriting will commence in December 2004. Its President, Dick Nenaber, has over 25 years of experience in these markets. Mr. Nenaber's colleagues Scott Wilson, Chief Financial Officer, William Kiesler, Senior Vice President Claims and Robert Karr, Senior Vice President Underwriting, also each have 25 years of surplus lines experience. Wellington Specialty's premium volume is expected to reach US$40m by the end of 2005 through a strategy of carefully controlled growth.
A.M.Best Co. has assigned an initial financial strength rating of A- (Excellent) to the company.
Dick Nenaber, President of Wellington Specialty, commented:
"I am very excited about this opportunity to utilise long-standing relationships in this market. We have been preparing for this with careful hiring of experienced individuals and construction of a well controlled infrastructure to write this niche business."
Stan Kott, CEO of the Group's US operations, commented:
"We are happy to have obtained the regulatory approvals which have been the final step to enable Dick and his team to become fully operational. Market conditions continue to be strong and Dick's contacts and experience will give us an advantage in writing profitable business."
This information is provided by RNS
The company news service from the London Stock Exchange