Liberty Special Markets has announced that it has been considering a number of European destinations that will “ensure LSM’s post-Brexit structure complements its European strategy”.
Although Liberty Special Markets intends to keep its headquarters in London for the time being, it has started the process of getting regulatory approvals to establish a Luxembourg-domiciled insurance company and insurance intermediary. The new company would allow LSM to continue to offer coverage throughout Europe from its Swiss and UK operations.
LSM – part of the
Liberty Mutual insurance group – hasn’t finalized the structure for the new EU operation and a spokesman says that the company is still analyzing its structuring options.
In a statement LSM’s president and managing director Nick Metcalf said: “We have ambitious plans for growing the business that we do within and from the EU, and Luxembourg best fits the design principles we set ourselves to best position our post-Brexit structure.
“It is important to us to locate ourselves in a robust regulatory environment, and Luxembourg offers us exactly that. The regulator is well-respected, pragmatic, and insurance-specific and so understands the market very well.
“Our primary objective was to minimize disruption to our clients and policyholders and employees, and I hope to be able to demonstrate how we have achieved that, when we set out how our new structure will work after the summer.
“For our clients it will be very much business-as-usual. Europe is a key market for us and we are working towards expanding our capabilities and product offering in Europe over the coming months and years.”
LSM’s choice of location is a popular one with insurers – must to the chagrin of Dublin and several other financial-hub hopefuls.
Related stories:
Liberty Mutual reveals Ironshore merger plans
Lloyd’s on Brexit switch – jobs to move
