XL America Buys RSA Renewal Rights

"So more than $200 million in gross written premium will be the size of this new XL Design Professional in 2004," she said.

The new unit will be headquartered in Chicago and will comprise of about 150 employees, she noted, including loss control professionals and claims professionals.

John Glancy, currently DPIC president and CEO, will join XL America's insurance operations to lead XL Design Professional, the underwriting unit that will be responsible for this book of business.

Mr. Glancy has more than 25 years insurance industry experience including senior level positions with DPIC, CNA and Constitution State Services, a subsidiary of Travelers Property Casualty Corporation. He will report to Rich Banas, who leads numerous XL America insurance operations, the company said.

Nicholas M. Brown, XL's chief executive of insurance operations, said: "The purchase of DPIC's renewal rights provides us with a great opportunity to continue to expand our specialty lines with a market leadership position in architect and engineer liability."

Mr. Glancy said: "By coupling XL's well-regarded experience in the professional liability market with DPIC's reputation for outstanding service to architects, engineers, environmental consultants and the design industry, we are confident that our agents and customers will experience a seamless business transition."

The company said XL Design Professional expects to begin renewing expiring policies Jan. 1, 2004, using XL Specialty Insurance Company paper, subject to rate and form filing approvals. Those policies renewed with RSA with effective dates on and after Dec. 1, 2003, will be fully reinsured by an XL America company.