The Hartford is releasing its new operating model and organizational structure set to be in place when its $2.1 billion acquisition of specialty insurer The Navigators Group closes.
Plans call for aligning Navigators’ operations, along with The Hartford’s current Specialty Commercial and Middle Market businesses, around two new market-facing businesses: Global Specialty and Middle & Large Commercial.
Both sides announced the M&A agreement in August 2018. The deal is designed to boost The Hartford’s specialty insurance and reinsurance offerings and give it a larger global reach. Pending regulatory approvals, the acquisition is expected to close in late March or April. At that point, approximately 800 Navigators employees globally will join The Hartford.
“The acquisition accelerates key strategic objectives for The Hartford by expanding our product offerings, risk appetite and geographic reach,” The Hartford’s President Doug Elliot said in prepared remarks. “This go-to-market operating model will enable us to optimize our shared commitment to underwriting excellence, innovation, and delivering value to our best-in-class distribution partners and their customers.”
The following executive changes will be made as part of the reorganization:
- Morris “Mo” Tooker, currently head of Middle Market at The Hartford, will lead Middle & Large Commercial, which will include national accounts, and he will continue to report to Elliot. This business will focus on delivering workers compensation, general liability, auto liability and property insurance to midsize and large businesses through retail agents and brokers. Included in this organization: industry verticals; program and captive businesses; and umbrella, excess and high-hazard general liability offerings. Middle & Large Commercial will comprise approximately $2.7 billion of net written premiums on a pro forma basis.
- Vincent C. Tizzio, currently president of Navigators’ U.S. Insurance operation, will lead Global Specialty and report to Elliot. This business will focus on delivering a broad array of specialty products through retail and wholesale channels and will include U.S. specialty insurance and international teams. The surety and financial products businesses of The Hartford will become a part of Global Specialty. Global Specialty will represent approximately $1.9 billion in net written premiums on a pro forma basis.
- Ross Fisher, currently head of Specialty Commercial at The Hartford, will take on the new role of property and casualty global chief underwriting officer and continue to report to Elliot. H. Clay Bassett Jr. will continue to lead Navigators Reinsurance in the new organization and report to Fisher.
- Stanley Galanski, who has served as Navigators’ CEO since 2003, will continue to serve as president and CEO through the completion of the acquisition. Once the deal closes, he’ll stay on in an advisory role during the transition. The Hartford credits Galanski with having grown Navigators into a global specialty insurer with strong positions in the global marine, specialty casualty, and management and professional liability markets.
Source: The Hartford