Qatar Reinsurance Co. Ltd. has signed an agreement to buy four Gibraltar-based insurers from Markerstudy Group. The companies are: Markerstudy Insurance Co. Ltd., Zenith Insurance PLC, St. Julians Insurance Co. Ltd. and Ultimate Insurance Co. Ltd.
Financial details of the deal were not disclosed, but Qatar Re said that Markerstudy underwrites more than 5 percent of the UK motor insurance market, generating premiums of about £750 million (US$1.0 billion).
Qatar Re and its sister company, QIC Europe Ltd (QEL), already have a long-standing business relationship with Markerstudy, the companies explained.
“This transaction builds on the strong foundation of our existing relationship,” commented Gunther Saacke, Qatar Re’s CEO. “It provides Qatar Re with a greater share of lower volatility business that has performed consistently well for us, balancing our specialty and catastrophe book. In addition, the transaction will enable us to write UK business under any post-Brexit scenario.”
“For a long time we have had a tremendous relationship with Qatar Re,” affirmed Kevin Spencer, CEO of Bessels Green, England-based Markerstudy Group. “Their proactive approach has assisted our development and this is a natural evolution – to combine our strengths to establish a primary player in the UK insurance sector.”
“This strategic alliance has three-fold benefits: it enables us to simplify our product offering and processes for our intermediaries and broker partners; it provides us with ‘A’-rated capital backing, and ensures we maintain the continuity of marketing, distribution, service and support,” added Spencer.
The transaction is subject to regulatory approvals and is anticipated to complete in the first half of 2018.
Source: Qatar Re