Randall & Quilter Investment Holdings (R&Q), provider of investment services in to the global non-life insurance market, has announced the sanction of the transfer pursuant to Part VII of the Financial Services & Markets Act 2000 of business from Liverpool & London Steamship Protection & Indemnity Association (L&L) to R&Q Insurance (Malta) (RQIM).
L&L was incorporated in 1881 as a mutual marine liability insurer (referred to as a P&I Club) and went into run-off in February 2000.
RQIM was incorporated in 2013 to consolidate owned and acquired insurance, reinsurance and captive portfolios from across Europe. L&L is the sixth transaction to be absorbed by RQIM to date and there is a healthy future pipeline.
As the traditional protection and indemnity claims have generally matured, L&L’s residual insurance liabilities mostly relate to asbestos and other industrial disease claims from crew, stevedores and other dock workers.
L&L decided in 2013 to explore exit solutions for its legacy insurance liabilities due to concerns over increasing costs and management arising from compliance with Solvency II from 2016.
“We are delighted to have completed the transfer of this book of business, especially as it is the first time a P&I Club has transferred business to an insurance company in such a manner,” said Ken Randall, chairman and chief executive officer of R&Q.
“This transaction adds to the scale of R&Q Insurance (Malta), being the largest external Part VII the Group has undertaken to date and we are pleased to be able to provide longevity of service and security to the Club’s policyholders, members and claimants.”
Randall & Quilter, Liverpool & London Steamship Protection & Indemnity Association, Ken Randall, Europe