Specialist run-off re/insurer DARAG Group hfinalised its acquisition of The Underwriter Insurance Company as part of its strategy to further strengthen its operations in the UK.
The acquisition of The Underwriter will be executed by DARAG Deutsche Versicherungs- und Ruckversicherungs-AG, DARAG’s German carrier.
The Underwriter, which is currently under run-off, offered cover for commercial liability risks through insurance intermediaries between 1998 and 2003.
The acquired entity provided employers’ liability, general liability, professional indemnity, financial institutions, professional liability and construction risks coverages.
Apart from serving as the primary vehicle for future DARAG takeovers in the UK, the Underwriter will allow the company to continue trading in the UK market even after Brexit.
Commenting on the acquisition, DARAG CEO Tom Booth said: “This transaction provides a simple and efficient solution for DARAG’s further expansion into the UK market and full legal and economic finality for The Underwriter shareholders.
“The Underwriter’s portfolios are highly complementary to our business and we look forward to announcing further transactions in the future.”
Recently, DARAG Group signed a retrospective quota share reinsurance agreement with Scandinavian insurance firm Protector Forsikring.