Profile: XL Group Ltd (XL.N)
22 Feb 2017
XL Group Ltd, formerly XL Group plc, incorporated on March 12, 2010, is an insurance and reinsurance company providing property, casualty and specialty products to industrial, commercial and professional firms, insurance companies and other enterprises. The Company operates through two segments: Insurance and Reinsurance.
The Company's insurance operations are organized into four product divisions: Global Casualty (Casualty); Global Energy Property, & Construction (EPC); Global Professional (Professional), and Global Specialty (Specialty), as well as four regions: Americas; Europe, Middle East & Africa (EMEA); the United Kingdom & Ireland, and Asia Pacific. The Company's insurance operations provide insurance policies for corporate risks that may require large limits, use of a captive insurance company and the need for a program of locally issued policies. These programs are marketed and distributed through a range of local, national and international producers.
Casualty provides primary and excess casualty, environmental liability, excess and surplus lines, surety, program/facilities and North American construction business. The division writes business on a wholesale basis through the Company's Lloyd's of London Syndicates (Lloyd's) platform and the excess and surplus market in the United States, and on a retail basis through its retail network. Global insurance programs are targeted to multinational companies in industry groups, including aerospace, automotive, consumer products, pharmaceutical, pulp and paper, high technology, telecommunications, transportation and basic metals. Environmental liability products include pollution and remediation legal liability, general and project-specific pollution and professional liability, and commercial general property redevelopment and contractor's pollution liability. Its targeted industries include environmental service firms, contractors, healthcare facilities, manufacturing facilities, real estate development, transportation and construction.
Excess and surplus lines products include general liability, property, excess auto and excess liability coverages. Surety products include contract bonds, including bid, performance, payment and contractor qualification bonds, as well as commercial surety bonds, including appeal, court and qualification bonds. The Company's program/facilities business specializes in insurance coverages for various market segments, including program administrators and managing general agents. North America construction products include property coverages (builders risk, contractors equipment, property and inland marine), general liability, the United States workers' compensation and commercial auto, as well as professional liability for contractors and owners, excess umbrella, subcontractor default insurance, and primary casualty wrap ups.
EPC underwrites all aspects of the energy cycle, from exploration and production phases to midstream and downstream phases. Its products and services include control of well; drilling contractors; energy casualty; offshore construction projects, and offshore and onshore energy property/business interruption. Through its Property Risk Engineering/Global Asset Protection Services (GAPS) unit, the Company offers risk assessment and consultancy services. GAPS' risk profile includes a range of real estate, commercial and industrial properties. The appetite is for both retail and wholesale business, which can be underwritten through a range of platforms. Its products and services include commercial combined packages, general property, business interruption and boiler and machinery. The Company offers a range of construction-related products, as well as risk engineering services. Its products and services include advanced loss of profits/delay in start-up; annual facilities for employers and contractors; commercial project builders insurance; construction/contractors all risks; engineering/erection all risks; machinery breakdown, and Shariah compliant property and construction insurance.
Professional provides a range of Professional Liability products to professional services firms and public and private companies, globally. Products are offered on a primary and excess basis, locally or as global programs. Professional includes directors' and officers' liability, errors and omissions liability, employment practices liability, crime, fiduciary and technology and cyber liability coverages. Policies are written on both a primary and excess of loss basis. Directors' and officers' coverage includes primary and excess directors' and officers' liability related to both public and private companies, as well as financial institutions.
Employment practices liability is written primarily for very large corporations on an excess of loss basis and covers those firms for legal liability relating to the treatment of employees. Employment practices is written on a primary basis for small private companies on a package basis with other professional coverages. Errors and omissions coverage is written on a primary and excess basis for professional services firms. Errors and omissions insurance is targeted to small-sized firms and can be written on a primary basis through third parties. Crime can be written on a stand-alone basis or on a package basis with other professional coverages. Crime is written on a primary and excess basis. Fiduciary can be written on a stand-alone basis or on a package basis with other professional coverages. Fiduciary is written on a primary and excess basis.
Specialty includes various lines of business, including aviation and satellite, marine (including North America inland marine), fine art and specie, equine, livestock and aquaculture, crisis management (product recall, political violence, kidnap and ransom, contingency, sport and leisure, and title), political risk, trade credit, and life, accident and health. Aviation and satellite products include airline hull and liability, airport liability, aviation manufacturers' product liability, aviation ground handler liability, large aircraft hull and liability, corporate non-owned aircraft liability, space third party liability and satellite risk including damage or malfunction during ascent to orbit and continual operation, and aviation war. Aviation liability and physical damage coverage is offered for large aviation risks on a proportional basis, while smaller general aviation risks are offered on a primary basis. Satellite risks are generally written on a proportional basis. The target markets for aviation and satellite products include airlines, aviation product manufacturers, aircraft service firms, general aviation operators and telecommunications firms.
Marine coverage includes marine hull and machinery, marine war, marine excess liability and cargo insurance. Fine art and specie coverages include fine art and other collections, jewelers' block, cash in transit and related coverages for financial institutions. Equine, livestock and aquaculture products provide bloodstock, livestock and aquaculture insurance. Crisis management writes a suite of products, many of which are backed by service provision from third party crisis response consultants. Product recall coverages written include product contamination for the food and beverage sector and end-product consumer goods, and product guarantee aimed at component part manufacturers. It also provides insurance to protect assets that are exposed to war, terrorism and political violence attacks, as well as kidnap, ransom and extortion crisis protection. The contingency coverage is focused on event cancellation business for trade shows, sports and entertainment events. The sport and leisure insurance coverage provides coverage to the sports and leisure industries, offering property, liability and personal accident coverage. Political risk and trade credit coverages include contract frustration, foreign direct investment, trade credit and trade receivable insurance for clients involved in domestic and international business. Life, accident and health business provides life and accident, and health coverages.
The Company's reinsurance operations are structured into five geographical regions: Bermuda; North America; London; EMEA, and Latin America, Asia Pacific & Credit (LAC). The segment provides casualty, property risk, property catastrophe, specialty, and other reinsurance lines on a global basis with business being written on both a proportional and non-proportional treaty basis, and also on a facultative basis. The Company's casualty reinsurance includes general liability, professional liability, automobile and workers' compensation. Professional liability includes directors' and officers', employment practices, medical malpractice and environmental liability. Casualty lines are written as treaties or programs, and on both a proportional and a non-proportional basis. The treaty business includes clash programs, which cover losses under a number of underlying policies involved in one occurrence or a judgment above an underlying policy's limit.
The Company's property business, primarily short-tail in nature, is written on both a portfolio/treaty and individual/facultative basis, and includes property catastrophe, property risk excess of loss and property proportional. Property catastrophe reinsurance provides coverage on an excess of loss basis when aggregate losses and loss adjustment expenses from a single occurrence of a covered event, or multiple occurrences in the case of aggregate covers, exceed the attachment point specified in the policy. The Company also writes property risk excess of loss reinsurance. Property risk excess of loss reinsurance covers a loss to the reinsured on a single risk of the type reinsured rather than to aggregate losses for all covered risks on a specific peril, as is the case with catastrophe reinsurance. Its property proportional account business includes reinsurance of direct property insurance.
The Company's specialty reinsurance products include energy, marine, aviation and space. Other reinsurance products include fidelity, surety, trade credit, accident and health, mortgage and political risk. In addition, the Company writes several whole account capital gearing quota share contracts on select syndicates at Lloyd's.
The Company competes with Allianz SE, American International Group, Inc., Factory Mutual Global, The Hartford Financial Services Group, Inc., Lloyd's of London Syndicates, Chubb Limited, The Travelers Companies, Zurich Insurance Group Ltd, CNA Financial Corporation, Liberty Mutual Group, Arch Capital Group Ltd, W.R. Berkley Corporation, Markel Corporation, AXA Insurance Ltd, Assicurazioni Generali, HDI-Gerling Industrie Versicherung AG, MAPFRE S.A, Allied World Assurance Company, AXIS Capital Holdings Ltd, Endurance Specialty Insurance Ltd, PartnerRe Ltd, RenaissanceRe Holdings Ltd, Validus Holdings Ltd, Nephila Capital Limited, Alleghany Corporation, Berkshire Hathaway Inc., Everest Re Group Ltd, Hannover Re SE, Munich Re AG, Swiss Re AG, Amlin plc, Aspen Insurance Holdings Ltd, Korean Reinsurance Company, R+V Versicherung AG, SCOR SE and Transatlantic Re.
XL Group Ltd
O'Hara House, One Bermudiana Roa
Company Web Links
- BRIEF-XL Group Ltd announces retirement of Peter Porrino as CFO
- BRIEF-XL Group Ltd announces $1 bln share buyback program, increases quarterly dividend
- BRIEF-Xl Group announces Q4 and full year 2016 results
- BRIEF-XL Catlin obtains final approval to establish an onshore reinsurance branch in India
- BRIEF-XL Group Ltd says oper EPS $0.44