Randall & Quilter Investment (R&Q) stated that its European insurance subsidiary Accredited Insurance has completed the acquisition of MPS Risk Solutions (MPSRS).
Randall & Quilter chairman and CEO Ken Randall said: “We are delighted to have completed the acquisition of MPSRS. R&Q takes pride in assisting companies to dispose of companies in run-off and providing finality for the owners.”
MPSRS was formed in 2004 as a UK authorized insurer subsidiary of Medical Protection Society (MPS). The company ceased active underwriting in October 2012.
The residual liabilities include primarily Professional Liability exposures arising in the UK. MPSRS had £2.4m in gross claim reserves as of 31 December 2017.
R&Q will be paying £16m in cash from its existing resources and it represents, a small discount to the company’s net assets of £17.8m. In the year to 31 December 2017 MPSRS recorded a profit before tax of £2.3m.
In October, last year, R&Q agreed to acquire Western Captive Insurance Company Designated Activity (WCIC) from the Coffey Group of companies in Ireland. This acquisition is subject to approval from the Central Bank of Ireland.
WCIC underwrote general and employers’ liability insurance between 2007 and 2011, covering several members of the Coffey Group. After the acquisition is completed, R&Q plans to transfer the business to its Accredited Insurance (Europe).
In September, before the transaction with MPS was announced, R&Q also agreed to acquire Global U.S. Holdings Incorporated from AXA DBIO, SCA, a subsidiary of investment funds managed by AXA Liabilities Managers SAS (AXA LM).
Global US is the 100% parent company of GLOBAL Reinsurance Corporation of America (Global Re US), which is a New York domiciled company.
The company predominantly underwrote property and casualty pro-rata treaties and facultative business for regional and specialty insurance companies on non-standard automobile, multi-peril and general liability lines in the US. In June 2014, it was acquired by an investment vehicle managed by AXA LM.