Generali sells US specialty lines division to spur fresh growth
Generali Group has agreed to sell its US specialty lines division to risk services firm Applied Underwriters, in a move it hopes will bolster its ability to grow and deliver enhanced products.
The deal includes Generali Warranty Services, a wholly owned subsidiary of Generali US. Applied plans to aggregate the business into its newly formed Applied Warranty & Insurance Services division.
The acquisition will enable the development and expansion of Applied's offerings across the US.
Jose Luis Menendez, who previously served as executive vice president and chief insurance officer as part of his 17-year career at Generali's US insurance operations, will serve as president of Applied Warranty & Insurance Services and will lead its US expansion with new programmes realised through Applied's network of agents and brokers.
The offices of Applied Warranty & Insurance Services will remain in Miami, Florida. The transaction is subject to the approval of the Florida Office of Insurance Regulation.
Applied chair Steve Menzies said that Generali policies and contracts will be honored during the transition period. "We will immediately assume all risks on a reinsurance basis through North American Casualty's Continental Indemnity Company and move rapidly into new focal areas through the new Applied Warranty & Insurance Services division." he said.
"We applaud Jose Luis Menendez for his leadership in making Generali's Specialty Lines Division a formidable entity. We welcome the staff that will join him to ensure continuity."
Menendez said: "We have varied, flexible and market-wise products that prove eminently useful in the real worlds of warranty, travel insurance, personal electronics and such specialties as event ticket cancellation and similar lines. Applied will bolster our ability to grow and deliver enhanced and newly designed products."
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