Navigators Insurance, a subsidiary of Navigators Group, has entered into a transaction with Tower Insurance of New York, a subsidiary of Tower Group, to sell the renewal rights for the middle market commercial package and commercial automobile business underwritten through its NAV PAC division.

According to Navigators, the transaction did not include the NAV PAC Global or Life Sciences products, which are also underwritten within the division.

The portfolio of policies subject to the transaction involves gross written premium of approximately $33m in 2010.

Navigators Group president and CEO Stan Galanski said that due to the current market conditions, the group’s middle market commercial package business found it challenging to achieve scale without sacrificing underwriting quality.

"In order to achieve the company’s business focus, we felt that this book of business is better associated with a company that has far greater existing presence in this segment,"Galanski said.