Gerling exits p&c reinsurance

Not unexpectedly, Gerling Global has decided to stop writing new non-life reinsurance after being unable to find a buyer for the business. It will however complete existing contracts.
The company’s life reinsurance business will continue under the title Gerling Life Reinsurance GmbH.
The Cologne, Germany-based company had warned it would stop writing p&c business should it be unable to find a buyer. Recently Scor withdrew from negotiations to buy the unit.
Continuing non-life contracts should total about EUR 4.5 billion for 2002.
In Canada, Gerling Global Re wrote about $74.5 million in net premiums last year, but finished 2001 with an underwriting loss of more than $7.6 million.
Gerling will continue to write primary p&c insurance through the Gerling Group of Insurance Companies. In Canada, under the banner Gerling Canada Insurance Company, the primary operation wrote about $52.4 million in net premiums last year, with an underwriting profit of $1.6 million.