MS Amlin, the London-based global specialty insurer and reinsurer and subsidiary of MS&AD, confirmed its exit from the aviation insurance market, effective from Oct. 14 when it will cease underwriting aviation insurance renewals or new business.
This change excludes the aviation hull war portfolio, which will continue to be underwritten by the existing war team.
MS Amlin’s decision to exit the aviation insurance market follows its recent announcement of the results of a comprehensive long-term strategic review. This decision underpins MS Amlin’s strategy and will enable it to devote more capital, investment and management time on areas of focus to support its growth ambitions, the company said in a statement.
As a result of the strategic review, on Oct. 1, MS Amlin announced it was exiting nine classes of business and operations (including aviation), which no longer form part of its future strategic direction. The business classes were: P&C UK Insurance (Corporate Property, Real Estate, Casualty, Package Binders, Fleet) and Aviation, while operations were Bloodstock in P&C International; UK Yacht (previously Haven); AUA Insolvency Risk Services.
The aviation insurance portfolio’s runoff will be managed internally rather than outsourced under a Reinsurance To Close (RITC) arrangement.
“The runoff of the aviation insurance book will allow us to focus our attention on our new underwriting strategy and build on the progress we have made in restoring profitability,” commented Simon Beale, MS Amlin CEO. “In order to ensure continuity of service for our clients we will manage the run-off ourselves.”
Source: MS Amlin
*This story ran prevously in our sister publication Insurance Journal.