Liberty Mutual Insurance Group’s subsidiary Liberty Specialty Markets has re-domiciled its European insurance company, Liberty Mutual Insurance Europe SE, (LMIE) to Luxembourg.
The move is part of the company’s Brexit strategy. Liberty Specialty Markets has opened its new headquarters in the city.
At the same time, the company will retain its branch network in the UK, Continental Europe and the Middle East.
The new company will be led by LMIE general manager, Dirk Billemon. The company received its license from the Commissariat Aux Assurances (CAA).
The license enables Liberty to conduct insurance and reinsurance business in Europe, irrespective of Brexit negotiations outcomes.
Liberty Mutual Insurance Europe general manager Dirk Billemon said: “With the new licence and opening of our Luxembourg office, we are delivering on our promise to our brokers, clients and employees to provide continuity and certainty. We remain focused on providing flexible, innovative and tailored re/insurance solutions to our clients across the region.”
Last week, the company agreed to sell its Pembroke Managing Agency, Ironshore Europe operations (IEDAC) and Visionary (Dubai) to Hamilton Insurance. The transaction is subject to regulatory approval. The companies were acquired through Ironshore purchase in May 2017.
In January, the company completed a new transaction that uses Limestone Re capital markets platform, providing about $150m in collateralized reinsurance capacity for its US property catastrophe program along with US homeowners and global property reinsurance businesses. The transaction includes $58m of Bermuda Stock Exchange listed 2019-1 Notes issued by Limestone.
Last December, Ironshore Bermuda businesses and brands were integrated into Liberty Specialty Markets Bermuda. The business will led by Steve Horton, who is presently Iron-Starr Excess Agency CEO.
He will become Liberty Specialty Markets Bermuda president and will report to international markets president, Mark Wheeler. The business will use a managing general agency structure which was present previously in Iron-Starr.
Last November, Liberty Mutual launched a new distribution model. The new model is expected to improve broker access to its full suite of its commercial and specialty insurance products. As part of this change, it has appointed new regional executives.