RenRe Acquires Claims TPA

Bermuda-based RenaissanceRe announced last night that its Glencoe Group Claims Management Inc. subsidiary has acquired the assets of Claims Management Services Inc., a privately held claims administration, adjustment and consulting services provider.

Price details were not disclosed.

RenRe said CMS, based in Roswell, Ga., has provided third-party administrative services on an outsourced basis since 2005 to RenRe's Glencoe Group insurance company subsidiaries.

Going forward, William J. Ashley, president and chief executive officer of the Glencoe Group, said that “CMS will operate as an internal claims unit handling many of the claims for the insurance companies that are part of our U.S. operations.”

In addition, he said, “Our transaction with CMS furthers our strategic plan to balance owning important capabilities with outsourcing.”

As a result of the transaction, 50 CMS employees have joined Glencoe.

Companies in the Glencoe Group comprise RenaissanceRe's individual risk underwriting operations, which write primary insurance and quota-share reinsurance. The Glencoe Group companies are: Glencoe Insurance Ltd., Lantana Insurance Ltd., Stonington Insurance Company and Stonington Lloyds Insurance Company.

The Glencoe Group seeks to write classes of business where the group's expertise in modeling, analytical tools and information systems can provide a competitive advantage.

Products, which are principally distributed through program manager and quota-share reinsurance partners, include: commercial and homeowners property coverages, including catastrophe-exposed products; commercial liability coverages, including general, automobile, professional and various specialty products; multiperil crop insurance; and reinsurance of other insurers on a quota-share basis.

In addition to individual risk business, RenaissanceRe Holdings Ltd. is a global provider of reinsurance, principally property-catastrophe reinsurance.