Italian insurance giant Generali has received regulatory approval for the non-life legacy portfolio transfer of its UK branch to independent re/insurance legacy specialist Compre.
The transaction, which was signed last December and also included the non-life run-off portfolio of Generali’s U.S branch, was structured as an upfront reinsurance solution by way of a Loss Portfolio Transfer for both branches.
Having now been granted the regulatory approval from the Institute for the Supervision of Insurance in Italy (IVASS), Generali can now close the legal transfer process for the UK portfolio, while the U.S branch remains fully reinsured with the same counterparty.
This transaction provides legal finality for Generali in relation to its legacy liabilities held by the UK branch.
This is part of Generali’s strategy to optimise capital allocation and further increase operational efficiency. The total consideration for the transaction was not disclosed.
Will Bridger, co-Chief Executive Officer of Compre, said, “The approval from IVASS is the conclusion of a remarkable process. This is a landmark deal in many ways, as the first Italian transfer completed by Compre and the largest portfolio acquired by our firm.”
“It demonstrates Compre’s unparalleled reputation as a legacy provider and proves our ability to provide tailored legacy solutions for the most complex transactions and to deliver operational and legal finality to our clients in a timely and effective manner.”
“We are very pleased to have been able to complete this transaction with Generali and look forward to further transactions in Italy in the future.”