Specialty insurer Hiscox Ltd, based in Bermuda, said it acquired a portion of the kidnap and ransom business from Chicago-based insurance broker Aon Limited. Terms of the deal were not released.
The business, which is already substantially underwritten by Hiscox, principally comprises Latin American risks from third-party brokers, the company said.
Hiscox said the agreement was reached following Aon's decision to restructure its crisis management division to focus on servicing business from Aon's network of global offices.
A spokeswoman for Aon said the business dealt with the placement of risk, primarily working with other brokers in that region and not Aon brokers.
She said the company decided it wanted to concentrate on placing risks within its own network, and since the Latin American business was placed with Hiscox, it seemed like a natural fit. The decision does not affect any of the other broker's business in this area, she said.
Hiscox said the transaction includes the transfer of existing staff and systems ensuring a seamless transition for existing clients and brokers.
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