Zurich Insurance Group is to transfer its German legacy medical malpractice portfolio to Ireland’s Catalina.
Zurich announced via a statement earlier today that its subsidiary Zurich Insurance plc has entered into an agreement with Catalina Insurance Ireland DAC (Catalina) to transfer its German legacy medical malpractice book. The portfolio concerned represents reserves of approximately US$450m as of December 31, 2016, the company said.
The transaction, which is subject to regulatory and court approvals, is part of Zurich’s continued efforts to” manage risk and free up capital from non-core operations”, the statement read.
George Quinn, group chief financial officer, said: “The transaction with Catalina is another example of how the group is actively managing its capital and legacy liabilities. This transaction reduces risk and continues the process of simplifying the group and releasing capital from non-core activities as communicated at our Investor Day in 2016.”