Travelers CEO steps down

The insurer’s chief executive is leaving the post four months after announcing he was diagnosed with amyotrophic lateral sclerosis

Insurance News

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Travelers Chief Executive Jay Fishman stepped down from his post Monday, after leading the property/casualty insurer for 14 years.

The 63-year-old Fishman announced four months ago that he had been diagnosed with amyotrophic lateral sclerosis, the neurodegenerative condition commonly known as Lou Gehrig’s disease. Fishman was able to work for a year after he learned he had the illness, but decided to step down before his health worsened in order to secure a smooth transition.

Alan Schnitzer, who had led Travelers’ business and international insurance unit, will be taking over as CEO.

Fishman leaves behind a legacy of strong leadership, having overseen the integration of the St. Paul Cos. after its acquisition of Travelers and guided the insurer through the financial crisis unscathed while rivals like AIG stumbled. Under his watch, Travelers’ stock has outperformed Berkshire Hathaway and he retires with the company trading near its all-time highs.

When he learned he was suffering from ALS, Fishman elected not to step down immediately but rather continue running Travelers.

“It was an easy choice for me because the alternative at that point was to sit around and watch TV,” he told Forbes. “The choices became more narrow. I could do his until I couldn’t.”

Fishman arranged to tell Travelers’ directors about his health condition, and assured them that if any of them ever thought he was no longer fit for the position, he would resign without argument.

Then, in November, Fishman wrote a public letter to the company, telling employees he was suffering from a “neuromuscular condition” and that they may soon see him with a cane or “other gear to help me get around.”

He led the company for another year before his condition worsened and it became difficult to breathe. He began thinking about when to announce his resignation, initially focusing on January 2016. However, concerned that if something happened to him and the company would not have time to respond, Fishman decided to accelerate his resignation and announced his planned November 2015 departure in August.

“At every company there comes a time for new leadership,” Fishman wrote in a note to Travelers’ employees at the time of his announcement. “Because of the progression of my neuromuscular condition, the time has come a little earlier than I had hoped.”

Since then, Fishman has donated millions of dollars to ALS research and support, including a $5 million donation toward a $25 million research initiative at Johns Hopkins to better understand various versions of the disease.

He will take on the role of Travelers’ executive chairman and will continue to serve on the company’s board in order to continue his presence with the insurer.
 

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