Business
Quota Share Arrangement
Quota Share Arrangement.
About this update from Saga Plc
[{"type":"text","content":"\n \nRNS Number : 4612T SAGA PLC 30 March 2016 \n\n30 March 2016\n \nSaga plc\n \nSaga plc enters Quota Share Arrangement with NewRe\n\nSaga plc (\"Saga\" or \"the Group\"), the UK's leading provider of products and services primarily tailored for the over 50s, announces that is has signed a quota share arrangement to cover 75% of the risk of the motor policies of its in-house underwriter, AICL, from 1st February 2016.\nThe sole reinsurer agreement is with NewRe, a subsidiary of Munich Re, the world's biggest reinsurance group. The initial arrangement is for three years, with the option to extend the deal on the same terms for a further three years.\nIn line with the Group's overall strategy, the quota share agreement will significantly reduce Saga's exposure to underwriting risk and will lead to a phased withdrawal of capital from its underwriter. Saga will provide a further update at its preliminary results on 19 April 2016.\nLance Batchelor, Chief Executive Officer, said:\n\"This quota share arrangement is the next logical step in delivering our strategy and the favourable terms of the deal that we have signed are testament to the quality of the Saga underwritten book and our historic underwriting performance. Going forward, AICL, supported by its reinsurance partner, will continue to play an important role on Saga's motor panel as we aim to expand our motor insurance footprint, providing competitive, differentiated motor insurance products to more of the UKs over 50s.\" \nEND\n \nFor further information please contact:\n \nSaga plc\nTim McCall, Director of Corporate Affairs \nTel: 020 7654 2729\nEmail: [email protected]\n \nDuncan Browne, Investor Relations Manager \nTel: 020 7654 2731\nEmail: [email protected]\n \nFTI Consulting\nPaul Marriott / Tom Blackwell\nTel: 020 3727 1341 / 1051\nEmail: [email protected]\[email protected]\n \n\nThis information is provided by RNSThe company news service from the London Stock Exchange END MSCUKUBRNUAOUAR\n ","length":3672,"tagName":"div"}]