Allianz Global Corporate & Specialty (AGCS) today announced the close of the sale of the Fireman’s Fund Insurance Company (FFIC) personal lines insurance business in the United States, focused on high net worth customers, to ACE Ltd. The sale, which closed on schedule as previously announced and is valued at US$365 million, includes the renewal rights and reinsurance of existing liabilities. In addition, ACE has hired over 500 Fireman’s Fund employees who support this business. Coverage for existing FFIC policyholders will continue until their policies are non-renewed at expiration in accordance with state law, at which time ACE is expected to make offers of coverage to most Fireman’s Fund policyholders.
The close of the sale represents one of several milestones Allianz has achieved in the first three months of 2015 as it restructures its North America business through the integration of the FFIC commercial business into AGCS, the global industrial insurer of Allianz Group. This integration has roughly doubled the size of AGCS in North America to around US$3 billion in gross written premiums and will expand AGCS’s product range, both within the US market and internationally.
“I am pleased to see that the sale of the Personal Business was closed so quickly and efficiently,” said Art Moossmann, Member of the Board of AGCS and CEO of AGCS North America1. “I want to thank our brokers, agents and policyholders who worked with us so patiently during this time. Also, I want to thank the hundreds of employees who have not only worked so tirelessly to make this happen but have moved forward the many other changes taking place in North America.”