A.M.BestTV: A.M. Best's Mosher: Capital Influx Drives Today's Insurance M&A

OLDWICK, N.J.--()--In this A.M.BestTV episode, A.M. Best Senior Vice President Matt Mosher says capital providers are seeking insurance underwriting expertise, which is changing today's competitive and acquisition environments. Click on http://www.ambest.com/v.asp?v=ma715 to view the video program.

High profile mergers and acquisitions (M&A) are dominating the headlines in the reinsurance, property/casualty and health sectors today. Mosher explains some of the fundamental developments in the way of insurance M&A. “Previously, A.M. Best saw ‘white knight’ type deals where larger, stronger companies would come in and purchase a company that might be struggling, now A.M. Best has observed much more of a movement to very strong companies partnering together to leverage the strengths that they have with industry constituents that they deal with, including capital markets and brokers, as well as further expanding their footprint with the strengths that they have together.”

In addition, Mosher sees a future with more insurance M&A activity. “I would expect that there will be more. The partnerships that are there, the ability to leverage with capital markets and brokers and have strength, these are what, in most cases, the capital markets are looking for, strong underwriters. The capital will partner with strong underwriting organizations.”

For further information concerning the state of insurance M&A, please see the Best’s Briefing, titled, “Many Triggers Fan the Flames for Larger M&A Deals” at http://www3.ambest.com/bestweek/purchase.asp?record_code=239308.

Recent episodes of A.M.BestTV include:

  • Global Broker Rankings See Shift Near Top: Best’s Review’s annual ranking of global brokers shows a change at the top of the list, as Arthur J. Gallagher & Co. has moved up to the third position, based on revenues. However, that may be short-lived, since the Willis Group and Towers Watson recently announced their merger, which will give the new company combined estimated revenue of $8 billion: http://www.ambest.com/v.asp?v=brokers715.
  • In Europe, Low Rates A ‘Double-Edged Sword’: Managing Director of Analytics Stefan Holzberger explains how the low interest rate environment is creating refinancing opportunities but also is producing mismatched portfolios with depressed investment returns: http://www.ambest.com/v.asp?v=fmeurorates715.
  • British European Union Exit Could Hit the U.K. Insurance Industry: Director of Analytics Catherine Thomas speaks about how the city’s standing as a key global insurance center would be diminished if the United Kingdom were to exit the European Union: http://www.ambest.com/v.asp?v=fmeuexit715.
  • European Insurers Ramp Up Capital Market Activity: Managing Director of Analytics Stefan Holzberger speaks about how market conditions and the looming start of Solvency II have prompted European insurers to increasingly tap the capital markets: http://www.ambest.com/v.asp?v=fmeurodebt715.

A.M.BestTV covers exclusive A.M. Best information and reports, targeted topics and key developments in the (re)insurance industry every Monday, Wednesday and Friday. Sign up for alerts of episodes at http://www.ambest.com/multimedia/ambtvsignup.html. View A.M.BestTV episodes at http://www.ambest.tv.

A.M. Best Company is the world’s oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.

Copyright © 2015 by A.M. Best Company, Inc. ALL RIGHTS RESERVED.

Contacts

A.M. Best Company, Inc.
Lee McDonald, 908-439-2200, ext. 5561
Group Vice President, Publication and News Services
lee.mcdonald@ambest.com

Contacts

A.M. Best Company, Inc.
Lee McDonald, 908-439-2200, ext. 5561
Group Vice President, Publication and News Services
lee.mcdonald@ambest.com