Qatar Reinsurance Company Limited (“Qatar Re”) has signed a sales purchase agreement to buy Markerstudy’s Gibraltar-based insurance companies, namely Markerstudy Insurance Company Limited, Zenith Insurance PLC, St Julians Insurance Company Limited and Ultimate Insurance Company Limited. Markerstudy underwrites more than 5% of the UK motor insurance market, generating premiums of about GBP 750 million. The QIC Group has an existing substantial relationship with Markerstudy through Qatar Re and QIC Europe Ltd (QEL).
Gunther Saacke, Qatar Re’s CEO, commented, “This transaction builds on the strong foundation of our existing relationship. It provides Qatar Re with a greater share of lower volatility business that has performed consistently well for us, balancing our specialty and catastrophe book. In addition, the transaction will enable us to write UK business under any post-Brexit scenario.”
Gunther Saacke continued, “Through this acquisition, Qatar Re reaffirms its commitment to supporting innovative entrepreneurship in insurance marketing, distribution and servicing.”
Kevin Spencer, CEO of Markerstudy Group, commented, “For a long time we have had a tremendous relationship with Qatar Re. Their proactive approach has assisted our development and this is a natural evolution; to combine our strengths to establish a primary player in the UK insurance sector.”
Kevin Spencer continued, “This strategic alliance has three-fold benefits; it enables us to simplify our product offering and processes for our intermediaries and broker partners; it provides us with A rated capital backing, and ensures we maintain the continuity of marketing, distribution, service and support. Ultimately, this arrangement will facilitate our strategy for growth and profitability, positioning us for further success.”
Qatar Re, licensed as a Class 4 Insurer by the Bermuda Monetary Authority, is a global multi-line reinsurer writing all major property, casualty and specialty lines of business. Qatar Re serves its clients through teams of seasoned underwriting and finance professionals combining in-depth technical and business expertise with industry experience across all markets. Through its headquarters in Bermuda, branch offices in Zurich, the Dubai International Financial Centre, Singapore and London, Qatar Re is close to the world’s major reinsurance markets and the core operations of its clients. Qatar Re is backed by a parental guarantee from Qatar Insurance Company S.A.Q. (QIC) and benefits from QIC’s substantial and growing capital base. Qatar Re is rated “A/Stable” by S&P Global and “A (Excellent)” by A. M. Best.
Markerstudy Group of Companies (MSG) is a dynamic privately-owned organisation, headquartered in Bessels Green, near Sevenoaks, employing over 3,000 employees in the UK and Gibraltar. It has been listed in the Best Companies to Work For in the UK at The Sunday Times Best Companies Awards for the past five years in a row and was a Top 5 company in 2017 in the Best Big Companies category. Established in 2001, its insurance arm includes Gibraltar insurers, Markerstudy Insurance Company Limited, Zenith Insurance Plc and Ultimate Insurance Company Ltd plus UK appointed service providers, Markerstudy Limited and Zenith Insurance Management UK Limited, who provide distribution, claims and administrative support. In 2015, MSG acquired Zenith Marque (previously branded Chaucer Insurance Services Limited) and consumer-facing company Geoffrey Insurance Services (formerly Chaucer Direct).
The transaction is subject to regulatory approvals and is anticipated to complete in the first half of 2018.