Hudson Insurance Group and Crum & Forster, both owned by Fairfax Financial Holdings Ltd., announced a strategic realignment of their directors and officers (D&O) and management liability business.
C&F will transfer the following lines to Hudson’s Financial Products unit: public, private, and not-for-profit directors and officers liability; employment practices liability; and fiduciary liability.
James J. Hooghuis, executive vice president and chief underwriting officer for Hudson Financial Products stated, said the combination will enhance the service provided to producers and policyholders.
Crum & Forster will continue to grow its Crime and Errors and Omissions (E&O) capabilities. C&F’s professional liability product offerings include lawyers’ professional liability, technology errors and omissions, miscellaneous professional liability, cyber liability, and crime and fidelity.
Along with his other responsibilities, Don Fischer, senior vice president of C&F, will lead and expand C&F’s E&O business, and will assist with the integration of the D&O business into Hudson.
Hudson’s D&O policies and related lines will be underwritten through Hudson Insurance Co. (admitted) and Hudson Specialty Insurance Co. (non-admitted).
C&F’s E&O and Crime policies will continue to be underwritten through United States Fire Insurance Co. and North River Insurance Co. (admitted) and Crum & Forster Specialty Insurance Co. (non-admitted).
“This transaction makes a great deal of sense for Fairfax and our partners as it provides more clarity, scale and focused resources to the business,” Chris Gallagher, president and CEO of Hudson Insurance Group, said in a statement.
Steve Mulready, chief operating officer of Crum & Forster, said the move makes sense for the Fairfax operations. “Clients want dedicated teams of underwriters and claims professionals in this highly active segment of the market,” he said.
Mulready said C&F will continue to build in key areas of the professional liability marketplace, including E&O for law firms and other professional specialties, as well as various environmental classes.