German insurance giant Allianz announced a new team that will lead the combined Fireman’s Fund and Allianz Global Corporate & Specialty North American business beginning in 2015.
Andrew Torrance, current president and CEO of Fireman’s Fund Insurance Company (FFIC), will step down from his position effective Jan. 1, 2015, handing over this role to Art Moossmann, a member of the Board of Management of Allianz Global Corporate & Specialty SE (AGCS) with responsibility for North America.
Moossmann will take on dual responsibility for both FFIC and AGCS North America (AGCS NA), as president and CEO of both organizations. Torrance will continue to be available to support the ongoing review of future options for the FFIC Personal Insurance business.
Hugh Burgess, AGCS NA’s current CEO, will become AGCS’s Global Head of Mid-Corporate effective Jan. 1, as previously announced.
In September, AGCS and FFIC announced the integration of their commercial P&C businesses in the U.S. to create one face to the market under the Allianz brand. This will take effect from Jan. 1, 2015, with the transition to the Allianz brand taking place over the course of 2015.
Options are still being considered for the FFIC Personal Insurance business. It is the intention, subject to legal and regulatory approval, to ultimately separate and consolidate the legacy business of FFIC, including legacy Asbestos & Environment exposures, legacy Worker’s Compensation, and legacy Construction Defect liabilities, into a stand-alone company, San Francisco Re (SF Re), which is currently a subsidiary of FFIC. SF Re will become part of the new Allianz Group unit, Allianz Runoff Management.
In addition to the CEO, the structure and leadership team for the combined organization will also come into place effective Jan. 1, 2015. The new leadership structure aligns with the global business model of AGCS, reflects the regional scope of the North American market, and brings FFIC and AGCS managers into one team under Moossmann. The leadership team will coordinate the transition from the current structure to the new AGCS structure in 2015.
Allianz said this leadership team will not only oversee the integration of the FFIC Commercial Lines management into AGCS and run the combined business in the future, but will also take responsibility for the Personal Insurance division of FFIC, pending decisions on the future direction of this part of the business.
Kathleen Zortman, currently president of FFIC Personal Insurance, will continue to be responsible for the Personal Insurance division in the new organization, reporting directly to Moossmann. Kevin Walker will remain as chief financial officer for Fireman’s Fund reporting to Moossmann during the transition period while also taking over as head of Allianz Runoff Management US and CEO of SF Re.
Randy Renn, AGCS NA’s current CFO, will afterwards step into the role of CFO for the combined AGCS/FFIC North American business.
As a result of these moves, AGCS’s Aviation and Marine & Energy lines of business will now be led by single global heads with expanded geographical responsibilities. Henning Haagen becomes global head of Aviation and Paul O’Neill becomes global head of Marine & Energy, taking over the responsibilities for the Americas from Joe Strickland and John Barnwell respectively, both of whom join the new AGCS NA leadership team in new roles.
Entertainment will also become a new global line of business for AGCS Specialty under the leadership of Lauren Bailey, current vice president of Entertainment for FFIC.
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