Sirius Group Acquires Old Lyme Runoff Portfolio Transaction led by White Mountains Solutions
HAMILTON, Bermuda, Jan. 6, 2012 /PRNewswire/ -- Sirius International Insurance Group, Ltd. (Sirius Group), a wholly owned subsidiary of White Mountains Insurance Group, Ltd. (NYSE: WTM), announced today that through a subsidiary it had acquired the runoff loss reserve portfolio of Old Lyme Insurance Company Ltd. (Old Lyme) – a Bermuda reinsurer in runoff since 2008. Old Lyme loss reserves of approximately $23 million were transferred via novation agreements into a Bermuda reinsurance subsidiary of Sirius Group.
The transaction closed on December 30, 2011 and was led by White Mountains Solutions – the specialist runoff acquisition team of Sirius Group. Old Lyme is the seventh runoff acquisition White Mountains Solutions has completed. "We are pleased by the successful conclusion of the Old Lyme transaction," commented Neal Wasserman, President of White Mountains Solutions. "This was a somewhat unusual transaction structure for the runoff sector – and represents an example of our flexibility in working with clients to find creative solutions for bringing closure to their legacy liabilities."
Sirius Group is a wholly owned subsidiary of White Mountains Insurance Group, Ltd. White Mountains Insurance Group, Ltd. is a Bermuda-domiciled financial services holding company traded on the New York Stock Exchange and the Bermuda Stock Exchange under the symbol WTM. Additional financial information and other items of interest are available on the company's website at www.whitemountains.com.
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- incurred losses and the adequacy of its loss and loss adjustment expense reserves and related reinsurance;
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- the risks associated with Item 1A of White Mountains' 2010 Annual Report on Form 10-K;
- claims arising from catastrophic events, such as hurricanes, earthquakes, floods or terrorist attacks;
- the continued availability of capital and financing;
- general economic, market or business conditions;
- business opportunities (or lack thereof) that may be presented to it and pursued;
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- an economic downturn or other economic conditions adversely affecting its financial position;
- recorded loss reserves subsequently proving to have been inadequate;
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SOURCE White Mountains Insurance Group, Ltd.