It has been announced that Paul Lynam, CEO of Pen Underwriting, is leaving the business.

Lynam, the founder of SRS which was merged with Australis to become Pen Underwriting in Australia in November 2014, has been with the business for more than 20 years.

The Arthur J Gallagher owned enterprise will be taken over on an interim basis by Peter Searson, chairman of AJG Asia Pacific, until a successor is found.

Searson said that the decision was made after discussions between the pair and thanked Lynam for his service.

"Paul and I have been discussing his future and he has made the decision to move on,” Searson said.

“He has made a significant contribution to Pen Underwriting since he sold his business to us in 2012, and I want to extend my thanks to him.”

Lynam will work out his notice on gardening leave and the company said in a statement that the move will have “no impact” on the clients of products of the business.