R&Q to provide loss portfolio re coverage to run-off mutual insurer

R&Q Insurance (Malta) (RQIM) has reached an agreement with The Solicitors Indemnity Mutual Insurance Association (SIMIA) to provide loss portfolio reinsurance coverage for all its previously underwritten insurance contracts.

SIMIA is a mutual insurance company that provides professional indemnity insurance to firms of solicitors based in England and Wales, and ceased writing new or renewal business in 2011.

During 2016/17 it is planned to transfer the business to RQIM pursuant to Part VII of the Financial Services & Markets Act 2000, subject to regulatory approval.

Ken Randall, chairman and chief executive officer of R&Q, said: "We are delighted to write this reinsurance and, subject to regulatory approval, we now plan to remove the liabilities completely from SIMIA by way of a Part VII transfer. This demonstrates the ability of R&Q to provide exit solutions from legacy insurance liabilities to all types of companies.”