Skuld has sold its Lloyd’s of London syndicate to the RiverStone Group, which will manage its outstanding claims.
The sale by the marine insurance company is the result of a tender handled by Willis Towers Watson Securities. It follows Skuld’s decision to put the Skuld Syndicate 1897 into run-off last year.
Financial details of the transaction have not been disclosed.
Oslo-based Skuld said that there were a number of bidders for its syndicate which it decided to wind down after a series of heavy losses.
Skuld said the sale would bring an end to its financial and legal obligations to the syndicate.
RiverStone is a part of the US Fairfax Group and specialises in managing insurance companies that are being closed.
Skuld chief executive Stale Hansen assured clients that syndicate’s outstanding claims would be managed professionally.
“ RiverStone has an outstanding reputation in the legacy market and we have full confidence they will ensure the highest levels of service and claims handling to all of our clients,” he said.
Luke Tanzer, managing director of RiverStone UK, said that the company had been in close negotiation with Skuld management over the handling of the syndicate.
He said: “Our responsible management and adherence to our core principles will ensure that their insureds continue to receive the highest possible level of service.”
Skuld has since transferred its hull and machinery and energy business, which it formerly operated through Lloyd’s syndicate, to its associated companies. The insurer now handles the business, named Skuld Hull, from the company market though Skuld Marine Agency and Skuld UK.
Skuld’s protection and indemnity clients that had hull and machinery and energy business with Skuld Syndicate 1897 have already moved over to Skuld Hull.
Earlier today, the Standard Club also announced that it has sold its Lloyd’s syndicate, which ran into similar financial difficulties to Skuld’s syndicate.
The Standard Syndicate 1884 was sold to reinsurance company Premia. The sale cost the Standard Club $21m.
