Allied World Assurance Company Holdings has named John Bender as its new CEO for global reinsurance operations, giving him broader responsibility for a crucial division at the company that has struggled in a softening market.
Bender has been with the Swiss insurance giant since 2007, when he became chief operating officer of Allied World Reinsurance Company. He oversaw daily operations for the division and expanded Allied World’s U.S. reinsurance platform, the company said. Since December 2011, he’s also been the go-to guy at Allied World for strategic leadership and business strategies for its global reinsurance business, the company said in its announcement.
Bender is a veteran of Platinum Underwriters and St. Paul Reinsurance Management Company.
Allied World booked nearly $152 million in net income in the 2014 second quarter, or $1.52 per diluted share, according to the company’s earnings release. That’s a big improvement over a $1.9 million net loss, or $.0.02 per diluted share, in the 2013 second quarter. But big declines in Allied World’s reinsurance arm in gross and net premiums written, net premiums earned and increases in net losses/expenses offset gains in other areas. Reinsurance represents a chunk of businesses at Allied World that also include property, casualty and specialty coverage.
Allied World released its Q2 numbers in July. At the time, JMP Securities LLC analyst Matt Carletti told Bloomberg that Allied World has been shrinking its reinsurance division’s exposure to catastrophes. That strategic decision comes as the broader reinsurance market has softened and catastrophe bond investors have increased competition.