The Financial Services Authority, the U.K.’s insurance regulator, has re-authorized ACE INA UK Limited (ACE INA UK), formerly known as Insurance Company of North America (UK) Limited, to underwrite all 18 classes of general insurance and reinsurance business.
ACE INA UK, a member of the ACE European Group, takes over the company’s risk portfolio, consisting primarily of business “derived from UK and European business previously written through the ACE managed Lloyd’s Syndicate 2488,” said the announcement. “It will also underwrite new business primarily encompassing property, professional lines and reinsurance risks.”
The successor company has been assigned an A+ local currency counterparty credit and financial strength rating from Standard & Poor’s. On January 1 it increased its capital to £112.5 million ($182 million), and anticipates writing £280 million ($454 million) of gross premiums during 2003.
ACE said it also “intends to continue to write those specialty business lines most suited to Lloyd’s through Syndicate 2488, which will remain the principal platform for the group’s aviation and marine business.”
Gary Schmalzriedt, President & CEO of ACE European Group, commented, “Our strategy at ACE continues to be to provide a superior standard of security to our clients and brokers. With ACE INA UK rated as A+ by S&P, and with our Lloyd’s syndicate rated Aa3 by Moody’s, we are pleased to provide top security to our client base.”
Andrew Kendrick, the active underwriter of Syndicate 2488 and a director of ACE INA UK, added, “In order to enhance our position as a premier insurance and reinsurance provider in London, we have developed a unique ACE trading floor for our London-based operations and we believe that the newly-active company will provide us with additional opportunities to maximise the benefits of this innovative step.”
The bulletin indicated that, “During the next two years, ACE INA UK will become ACE’s principal UK and European carrier by establishing branches in 12 EEA countries and Switzerland.”