NYMAGIC, Inc. said it is terminating its program management agreement with Southern Marine & Aviation (SM&A) on Jan. 1, 2008. Under the program management agreement, which commenced in August, 2003, SM&A wrote ocean cargo business on behalf of NYMAGIC’s subsidiary, New York Marine And General Insurance Co.
A. George Kallop, NYMAGIC president and chief executive officer, commented that the move gies the company more control over this business. “The cumulative results of the SM&A book during the term of the agreement have had little or no positive impact on the bottom line. Mutual Marine Office, a NYMAGIC subsidiary, has written ocean cargo insurance for more than 40 years and continued to do so very successfully during our relationship with SM&A. We concluded that going forward the company and its insureds would be better served by having MMO exercise complete control over ocean cargo production and underwriting.”
NYMAGIC subsidiaries specialize in writing ocean marine, inland marine and non-marine liability insurance, and whose agency subsidiaries specialize in establishing markets for such business. The company maintains offices in New York and Chicago.
Was this article valuable?
Here are more articles you may enjoy.