First insurer launched in US providing run-off portfolio transfer
ProTucket Insurance Company has been launched in the US for providing run-off portfolio transfer solutions, the first of its kind in the US, according to the company.
ProTucket is a subsidiary of London-based Pro Global Insurance Solutions, a consultancy and service provider focused on the global re/insurance industry, and has been granted a licence from the state of Rhode Island.
The move has been made possible under new state legislation which will allow companies to transfer their insurance business in a way that is already allowed in countries like the UK. Rhode Island’s Regulation 68 enables run-off portfolios of insurance contracts to be transferred from their current carrier into a protected cell within a Rhode Island domestic company.
"We estimate the value of US books in run-off, which could benefit from the Rhode Island legislation, to be as much as $100 billion," said Artur Niemczewski, CEO of Pro.
"Pro Global has over 25 years' experience in managing run-off internationally and is extremely proud to continue its leading position within the legacy market. We are excited about the pipeline of business this could bring."
Niemczewski said that the new legislation is expected to release billions in trapped capital and has the potential to improve the capital efficiency of the US insurance industry. Previously trapped capital can then be used elsewhere to enhance insurer solvency, policyholder service and product innovation, according to the company.
ProTucket provides a fully managed end-to-end service for insurers and reinsurers, wishing to use Rhode Island Regulation 68. ProTucket services include designing and delivering an insurance business transfer plan, establishing the protected cell for acceptance of the book of business, and providing a full menu of services, including claims management, regulatory reporting, and consulting.
"We are honored to be the first company to be granted a license to implement Regulation 68 and are passionate about the benefits it will bring to our clients and the US insurance market," said Mory Katz, head of Pro US.
Niemczewski added: "Over the next five to ten years we expect this business transfer process to become a standard industry practice and believe that ProTucket will be pivotal in fostering a vibrant run-off market."
Today’s top stories
Alleghany’s investments will steer it through hard market, says president
Sompo launches global re/insurance base in Bermuda as it completes Endurance takeover
Insurers’ Brexit preparations gain momentum
Chaucer hires senior exec from HDI Global to grow US general liability
AIG hires CEO of former subsidiary United Guaranty Corporation
Did you enjoy reading this story? Sign up to our free daily newsletters and get stories like this sent straight to your inbox.
Already registered?
Login to your account
If you don't have a login or your access has expired, you will need to purchase a subscription to gain access to this article, including all our online content.
For more information on individual annual subscriptions for full paid access and corporate subscription options please contact us.
To request a FREE 2-week trial subscription, please signup.
NOTE - this can take up to 48hrs to be approved.
For multi-user price options, or to check if your company has an existing subscription that we can add you to for FREE, please email Elliot Field at efield@newtonmedia.co.uk or Adrian Tapping at atapping@newtonmedia.co.uk
Editor's picks
Editor's picks
More articles
Copyright © intelligentinsurer.com 2024 | Headless Content Management with Blaze