MS Amlin has stopped underwriting aviation insurance renewals and new business
UK-based global (re)insurer MS Amlin has exited the aviation insurance market in line with the results of a recently held long-term strategic review.
The (re)insurance company has ceased underwriting aviation insurance renewals and new business. However, the change in operations is not applicable to its aviation hull war portfolio, which will continue to be underwritten by the company’s existing War team.
MS Amlin said that the move to quit the aviation insurance market supports its strategy and will help it in allocating more capital, investment, and management time on core areas of the business to help achieve its growth ambitions.
The specialty commercial insurer and reinsurer said that the aviation insurance portfolio’s runoff will be internally managed instead of being outsourced under a Reinsurance To Close (RITC) arrangement.
Clients seeking the company’s aviation insurance solutions are said to be airlines, major airframe and component manufacturers, airports, refuellers and refiners, ground handlers, and air navigation service providers.
For its airline clients, MS Amlin provides hull, spares and liability cover on an ‘all risks’ basis. The (re)insurer company also provides additional options like aviation hull war, aviation war liability, and excess insurance cover.
MS Amlin CEO’s comments on aviation insurance exit
MS Amlin CEO Simon Beale said: “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.”
In late September, the company revealed its refocused underwriting strategy to support the execution of its vision 2021 management plan and for advancing its 2023 transformation plan.
As per its underwriting review, the company decided to redeploy its capital and management focus where underwriting expertise is important and products are not commoditised.
In May 2019, MS Amlin acquired an undisclosed stake in Envelop Risk, a global specialist reinsurance managing general agent (MGA), which combines insurance expertise with artificial intelligence-powered cyber risk modelling.