Compre buys Baloise book in first move on European medical malpractice

Swiss insurer Baloise will sell a run-off hospital liability portfolio to a unit of international legacy group  Compre, accounting for neighbourhood €200 million in reserves.

The portfolio transfer includes the entire hospital liability book of Baloise unit Basler Sachversicherungs in Germany with provisions of around €200 million. Compre will work through its Finland-based unit Bothnia International.

The book in question was closed to new business in 2018. The Ecclesia Group Assekuranz Service, based in Detmold, continues to provide support for existing customers in claims settlement.

Sides did not disclose terms. The deal is expected to be closed at an unspecified point before the end of the year, subject to approval from German regulatory authorities.

Compre CEO Will Bridger (pictured) said: “I am delighted to announce our first acquisition of pure European [medical malpractice] MedMal legacy liabilities and with a portfolio that is very well known to us. This demonstrates Compre's strong client-service focus and ability to provide highly tailored solutions to meet specific client needs.”

Compre's CEO for Europe Simon Hawkins added: “This transaction also demonstrates, after Compre recently redomiciled to Bermuda, our commitment to executing legacy deals in Europe as well as the Lloyd’s and US legacy markets. While this is a new class of business for Compre, it is very much a signal of our intent to build MedMal into a significant additional area of specialisation."

Did you get value from this story? Sign up to our free daily newsletters and get stories like this sent straight to your inbox.