THE DISMANTLING OF RELIANCE

Markel Corp. has reached an agreement in principle with Reliance Group Holdings to acquire the renewal rights to Reliance’s Child Care book of business and certain segments of Reliance’s Social Services and Healthcare Liability books. In addition, The Hartford Financial Services Group has completed the purchase of the financial products and excess and surplus lines from Reliance Group Holdings. The acquisition, first announced June 19, has cleared all regulatory hurdles. The purchase includes the in force, new and renewal business of Reliance, resulting in approximately $250 million in additional annual gross premium for the company’s specialty operation. The former Reliance financial products and E&S staff of approximately 150 underwriting and claim personnel, now employees of Hartford Specialty, will remain in New York.