Global insurer and reinsurer MS Amlin has confirmed that it is to exit the aviation insurance market, effective October 14th, 2019.
From this date, the re/insurer will no longer underwrite aviation insurance renewals or new business. MS Amlin states that this change excludes the aviation hull war portfolio which will continue to be underwritten by the current war team.
The re/insurer announced in July that following a group-wide review of its operating structure and performance, it had decided to exit the Indian reinsurance market.
This was followed by an announcement at the end of September of a new underwriting strategy to support the delivery of its vision 2021 management plan and 2023 transformation plan, which includes the discontinuation of certain classes of business and operations.
The firm notes that its decision to exit the aviation insurance market is in light of the results of its long-term strategic review, adding that the decision underpins MS Amlin’s strategy and will ultimately enable it to put more capital, investment and management time on areas that support its growth ambitions.
Instead of outsourcing the aviation insurance portolfio’s run-off via a Reinsurance To Close agreement, MS Amlin says that the run-off will be managed internally.
MS Amlin’s Chief Executive Officer (CEO), Simon Beale, commented: “The run-off 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.
“In order to ensure continuity of service for our clients we will manage the run-off ourselves. We are committed to supporting both our customers and our people through this change.”
