TORONTO – Insurance firm Intact Financial Corp. says its Royal & Sun Alliance Insurance Ltd. subsidiary has signed a deal to promote its U.Okay. home and pet insurance coverage business to Admiral Group.
The firm says the sale consists of an preliminary money fee of 82.5 million kilos, with a possible further fee of as much as 32.5 million kilos, topic to sure retention thresholds.
The proceeds from the sale and the discharge over time of capital backing the U.Okay. private traces business are anticipated to complete about 350 million kilos, together with the good thing about earnout provisions, Intact says.
The deal will outcome within the switch of renewal rights, manufacturers and staff. Around 300 RSA staff are anticipated to maneuver to Admiral.
Intact says it’s going to additionally work to exit its home and pet companion and dealer contracts within the U.Okay.
The sale has been authorised by the boards of administrators of Intact and Admiral. It is anticipated to shut on the finish of the primary quarter of 2024.
This report by The Canadian Press was first printed Dec. 7, 2023.
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