Allianz sells Fireman???s Fund to ACE

Allianz Group has agreed to sell the U.S. personal lines business of its Fireman’s Fund unit to ACE for USD365 million by means of renewal rights arrangement.

The merger of the personal lines business with ACE and the planned integration of theFireman’s Fund commercial business into Allianz GlobalCorporate & Specialty (AGCS) will mean the fading away a brand name that has been in existence for more than 150 years. The Novato, California company was launched in 1863.

Allianz said the sale of the personal lines business, which is focused on high-net worth customers, allows it to focus on building its commercial P/C business across North America under the Allianz brand, creating a business with combined revenues that are expected to total over $3 billion, based on gross premiums written in 2013.

A new leadership teamfor this combined FFIC/AGCS business was announced with AGCS board member Art Moossmann becoming CEO and president of both AGCS North America (AGCS NA) and FFIC.

The sale includes the renewal rights, reinsurance of existing liabilities, and access to a network of 1,100 agents and brokers, according to the announcement.