Liberty Mutual Insurance Continues to Grow Global Risk Solutions Office of Underwriting With Two Key Appointments
Liberty Mutual Insurance announced appointments to two newly created roles in Global Risk Solutions (GRS) Office of Underwriting. Effective September 26, Julia Chu will join as Head of Underwriting Planning, Performance & Portfolio Management, and Thomas Leahy will become Global Product Leader, Financial Lines. Both will report to GRS President of Underwriting Matthew Moore.
Chu will establish a global GRS underwriting strategy, working with leaders across the commercial and specialty (re)insurance unit, while providing actionable insights to manage market dynamics and drive results. She brings more than 20 years of strategy and transformation leadership experience, and joins from Markel, where she was Chief Risk Officer.
Leahy will be responsible for Financial Lines globally. In this role, he will set the global product strategy, monitor overall performance of the portfolio, and partner with the newly appointed chief underwriting officers across GRS to ensure successful execution. He has more than 20 years of leadership experience, including more than 15 with Liberty Mutual. Leahy is currently President, Professional Liability, for GRS North America Specialty.
“With the appointments of Julia and Tom, we continue to build an unparalleled team that adds value to brokers, partners and clients by bringing our global expertise and resources to help better manage complex and emerging risks,” said Moore. “Julia and Tom will help drive underwriting performance through consistent global product strategies and portfolios based on a common view of risk.”
Chu and Leahy are the most recent appointments by Moore since he was named GRS President of Underwriting in April of this year. Earlier this year, he appointed Chantal Rodriguez as Liberty Mutual Reinsurance Chief Underwriting Officer, Brandon Fick as North America Chief Underwriting Officer, Nate Zangerle as Chief Underwriting Officer for Global Surety and Elizabeth Geary as President, Insurance Solutions.
Liberty Mutual Insurance Appoints Kevin Smith President, Global Risk Solutions North America
Liberty Mutual Insurance announced the appointment of Kevin Smith as President of Global Risk Solutions (GRS) North America. Reporting to GRS President Neeti Bhalla Johnson, Smith will be accountable for delivering GRS North America’s financial and operational performance which includes commercial and specialty businesses in the US, Canada and Bermuda and operates across Major Accounts, Middle Market and Specialty segments.
Smith has over 30 years of experience across property, casualty and specialty insurance, most recently as President and Chief Operating Officer of CNA’s specialty business. Previously he held leadership roles in underwriting, marketing and field operations at Chubb North America.
“Kevin’s extensive background and leadership skills uniquely qualify him to accelerate our transformation to deliver consistent underwriting profitability and leverage the full global capabilities of Liberty Mutual to solve our clients’ and broker partners’ risk needs across North America,” said Bhalla Johnson. “I am incredibly excited to partner with Kevin and the rest of the GRS leadership team as we continue to make excellent progress to execute our strategy.”
Smith is the fourth leadership appointment by Bhalla Johnson since she became GRS President in June 2021. Earlier this year, she appointed Matthew Moore as GRS President of Underwriting, Susanne Figueredo Cook as GRS Chief Operating Officer, and Phil Hobbs as Liberty Specialty Markets President.
Liberty Mutual Insurance Appoints Leaders to Two Important New Roles in Global Risk Solutions
Liberty Mutual Insurance announced the appointment of two individuals to newly created leadership positions within Global Risk Solutions (GRS), its commercial and specialty (re)insurance unit. Effective September 1, Crystal Ottaviano will join as GRS Chief Risk Officer, and Chantal Rodriguez will become Liberty Mutual Reinsurance Chief Underwriting Officer. Ottaviano will report to GRS Chief Financial Officer Alison Erbig. Rodriguez will report to both GRS President of Underwriting Matthew Moore and Liberty Mutual Reinsurance President Dieter Winkel.
As GRS Chief Risk Officer, Ottaviano will build differentiated global risk expertise capabilities that support a forward-thinking, risk-aware underwriting mindset designed to deliver exceptional value to Liberty’s partners and customers. Ottaviano, who has more than 25 years of risk management experience, joins from Aspen Insurance Group, where she was Group Chief Risk Officer. Throughout her career, she served in many senior leadership roles, including Chief Risk Officer of Swiss Reinsurance America and Head of Risk Management at Hiscox US.
“Given today’s tremendously complex and interconnected risk environment, a CRO’s key function in implementing and maintaining comprehensive risk frameworks and fostering a strong risk culture has never been more important,” said Erbig. “Crystal plays a vital role in helping deliver superior underwriting performance by creating these frameworks to drive risk-informed decisions. I’m delighted to have her join my team and bring her tremendous risk leadership to GRS.”
As Liberty Mutual Reinsurance Chief Underwriting Officer, Rodriguez is accountable for underwriting performance across its broad set of flexible treaty reinsurance products, delivered through 18 offices across the globe. She is a 13-year veteran of Liberty Mutual, most recently serving as Liberty Specialty Markets Head of Enterprise Risk Management. Throughout her 17 years in the industry, she has successfully shaped and executed reinsurance strategies, delivered robust and consistent underwriting risk assessment and appetite, and led cross-functional international teams.
“Chantal’s proven underwriting, actuarial, and enterprise risk management leadership will drive outstanding underwriting performance across Liberty Mutual Reinsurance,” said Moore. “She, together with the recently announced chief underwriting officers for GRS North America and Global Surety, will help us deliver holistic solutions to clients’ complex and emerging risks by bringing industry-leading products and risk expertise to every client interaction.”
Photo: Liberty Mutual Global Risk Solutions Chief Risk Officer Crystal Ottaviano and Liberty Mutual Reinsurance Chief Underwriting Officer Chantal Rodriguez
Liberty Mutual Insurance Appoints Elizabeth Geary President, Insurance Solutions
Liberty Mutual Insurance Global Risk Solutions (GRS), announced the appointment of Elizabeth Geary as President, Insurance Solutions. Geary will report to GRS President of Underwriting Matthew Moore, effective late August.
Geary is an established strategic and operational leader with vast experience in portfolio optimization, cycle and volatility management, data and analytics, and managing underwriting teams in complex lines. She will be responsible for building teams specializing in addressing customers’ emerging risks, including cyber and energy transition, in a rapidly changing environment. Geary will work closely with global brokers and GRS underwriting leaders to understand and stay ahead of global risk trends, while looking for opportunities to build and scale new capabilities to deliver solutions to customers in a timely, consistent manner.
Geary’s new role, which follows the recent appointment of Moore by GRS President Neeti Bhalla Johnson, is essential within GRS’ new Office of Underwriting.
“Our vision is to provide holistic solutions to our customers through a purposeful portfolio of product and risk expertise while delivering consistent underwriting profitability through the cycle,” said Moore. “We are thrilled to have Elizabeth join our team, as she brings the rare mix of skills and experience necessary to deliver enhanced global capabilities to our customers and underwriters as they adapt to dynamic and emerging risk environments.”
Bhalla Johnson added, “A high-performing team and culture is critical to ensure successful execution of our operating model that seeks to bring global expertise, coordination and differentiated value to every client interaction. Elizabeth’s proven leadership, market reputation and technical expertise will undoubtedly accelerate our transformation. We are excited to have her onboard.”
Geary joins Liberty Mutual from TransRe, where she served in a dual role as President, Global Portfolio Management, and Chief Underwriting Officer, North America, balancing both transactional and portfolio experience. Prior to this, she was the company’s Global Head of Cyber.
She is a graduate of Fordham University, earning a Bachelor’s degree in Business Administration and a Master’s degree in Finance from the Gabelli School of Business.
Liberty Mutual Insurance Appoints Damon Hart to Executive Vice President and Chief Legal Officer
Liberty Mutual Insurance Chairman and Chief Executive Officer David Long announced that Damon Hart has been named Executive Vice President and Chief Legal Officer, effective Jan. 1, 2022. With this appointment, Hart joins the company’s executive leadership team and will report to Long.
Previously, Hart was promoted to Deputy Chief Legal Officer in 2020 and prior to this, served as Senior Vice President and Deputy General Counsel for litigation and coverage, overseeing the interests of Liberty Mutual and providing enterprise-wide coverage advice and opinions. Damon also spent several years as Deputy General Counsel for Employment Legal. Before joining Liberty Mutual in 2014, Hart was a partner at three national law firms where he focused on litigation and employment matters.
Hart is actively involved in the company’s Employee Resource Groups and throughout the community where he coaches youth sports and mentors rising professionals. He is a founding member of The New Commonwealth Racial Equity and Social Justice Fund – a coalition of Black and Brown executives in Massachusetts working to address and eliminate systemic racism and racial inequity. Hart is also on the Board of Directors of The Home for Little Wanderers and the New England Legal Foundation.
“Damon’s tremendous experience across a wide variety of legal disciplines has helped shape our company and culture,” said Long. “He is a dedicated leader, demonstrating his steadfast commitment to the community and Liberty Mutual. He will excel at spearheading our global legal practice, continually working in the best interest of our policyholders, partners and employees.”
Executive Vice President and Chief Legal Officer Jim Kelleher Announces Retirement
The company’s current Executive Vice President and Chief Legal Officer Jim Kelleher announced he will retire at the end of 2021. Kelleher held multiple leadership roles during his notable, nearly four-decade career at Liberty Mutual, including managing the corporate litigation group, serving as General Counsel of Liberty International and as deputy counsel, he oversaw the provision of legal services to all of the company’s domestic and foreign insurance operations.
Throughout his time at Liberty Mutual, Kelleher led and influenced all aspects of the company’s legal function, including traditional insurance regulatory and corporate law practices, an insurance defense organization, public affairs and global compliance and ethics. He provided executive counsel on numerous acquisitions, divestitures, capital transactions, legislative and regulatory policy and major litigation matters.
“Jim has left an indelible mark on Liberty Mutual and our industry over his remarkable career, and I’d like to thank him for his extraordinary contributions,” said Long. “He shaped the company’s legal function and leaves a lasting impact on the organization and the community through his pro bono initiatives, dedication to non-profit service and commitment to advancing Diversity, Equity and Inclusion.”
“I’m very proud to have been part of Liberty Mutual, a truly outstanding company, the past four decades,” said Kelleher. “It’s been an honor to lead the legal function and work closely with my colleagues and peers to achieve our collective goals. I highly respect Damon’s vast legal and business experience, as well as his exceptional leadership capabilities, as he works with the team to continue driving the business forward.”
Liberty Mutual Insurance Reports Third Quarter 2021 Results
Liberty Mutual Holding Company Inc. and its subsidiaries (collectively “LMHC” or the “Company”) reported net income attributable to LMHC of $721 million and $2.346 billion for the three and nine months ended September 30, 2021, increases of $324 million and $1.750 billion over the same periods in 2020, respectively.
“Despite an elevated level of catastrophe losses, net income attributable to LMHC for the quarter improved to $721 million, up 81.6% from the prior year,” said David H. Long, Liberty Mutual Chairman and Chief Executive Officer. “We continue to experience extraordinary returns in our partnerships, LLC and other equity method investment portfolio which generated $1.0 billion of pre-tax net investment income, up from $467 million, primarily driven by private capital investments. Pre-tax catastrophe losses net of reinsurance in the quarter were $1.2 billion compared to $980 million in the third quarter of 2020 with losses stemming from Hurricane Ida totaling $812 million.
“Topline growth was strong across both of our businesses as net written premium increased 6.5%. Global Retail Markets premium in the quarter grew 5.4% over the same period in 2020, driven by U.S. personal lines where personal auto and homeowners policies in force increased 5.9% and 6.5%, respectively. Global Risk Solutions premium grew 11.3% driven by a combination of rate increases and exposure growth. Core underwriting results in this segment continued to improve, with a 6.5 point decrease in the core loss ratio to 61.1% for the third quarter driven by rate execution, improved risk selection, and lower large loss activity.”
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Liberty Mutual Insurance Seeks to Acquire Malaysian Insurer AmGeneral
Liberty Mutual Insurance will be applying for regulatory approval to acquire Malaysian insurer AmGeneral Insurance Berhad (AmGeneral). AmGeneral is currently 51%-owned by AmBank Group and 49%-owned by Insurance Australia Group (IAG). Subject to receiving appropriate regulatory approvals, Liberty Insurance Berhad will acquire 100% shares of AmGeneral, and AmBank Group’s share of the sale proceeds will be in the form of cash and consideration shares, which will result in AmBank Group holding a 30% interest in the Liberty Insurance Berhad and AmGeneral businesses. The AmGeneral and Liberty Insurance Berhad operations will, at a subsequent date, be formally merged. Following the merger, it is expected that the combined entity will become the largest auto insurer and second-largest property and casualty insurer in Malaysia based off of 2020 data. As part of the transaction, the prospective merged entity will enter into an exclusive 20-year bancassurance partnership with AmBank Group to distribute general insurance products. “Expanding and investing in international insurance markets is instrumental in our aspiration to become a leading global property and casualty insurance company,” said Liberty Mutual President, Global Retail Markets, Jim MacPhee. “Liberty Mutual’s mission to help people embrace today and confidently pursue tomorrow is well aligned with AmBank’s mission to help individuals and businesses in Malaysia grow and win together. Combining Liberty’s global capabilities with AmGeneral’s leading market share in auto and a growing business in additional product lines will create a best-in-class insurance operation.” AmGeneral serves the Malaysian insurance market through approximately 1,400 employees at 33 branch locations. A top three motor insurer with a growing business in additional product lines, the company distributes its personal and commercial insurance products under the AmAssurance and Kurnia brands through more than 6,000 agents, brokers, car dealers, franchises and affinity partners, and its fast-growing digital and direct capabilities. Citigroup, Inc. acted as financial advisor to Liberty Mutual in the transaction.
Liberty Mutual Insurance Bolsters Independent Agent Network With Agreement to Acquire State Auto Group
Liberty Mutual Holding Company Inc. (“Liberty Mutual”), State Automobile Mutual Insurance Company (“State Auto Mutual”), and State Auto Financial Corporation (NASDAQ: STFC) (“State Auto Financial”) announced that they have signed a definitive agreement pursuant to which Liberty Mutual would acquire State Auto Group, a super-regional insurance holding company headquartered in Columbus, Ohio. Under the terms of the agreement, State Auto mutual members will become mutual members of Liberty Mutual and Liberty Mutual will acquire all of the publicly held shares of common stock of State Auto Financial for $52 per share in cash. The acquisition will significantly expand Liberty Mutual’s position as an industry leader for personal lines and small commercial insurance. Liberty Mutual today distributes its Safeco Insurance personal auto, homeowners and specialty products, and Liberty Mutual small business insurance through more than 10,000 independent agencies countrywide. Through the deal, Liberty Mutual will add $2.3 billion in premium and State Auto’s network of approximately 3,400 independent agencies across 33 states and is expected to become the second largest carrier in this key distribution channel. “State Auto Group’s capabilities and product expertise are an ideal complement to Liberty Mutual’s domestic personal lines and small commercial business, and we welcome 2,000 talented associates to our family,” said Liberty Mutual Chairman and Chief Executive Officer David Long. “Equally appealing are its values. For almost a century, State Auto has celebrated a culture of caring for people, exceptional service and deep philanthropy, mirroring our purpose to help people embrace today and confidently pursue tomorrow.”The sixth-largest auto and home insurer in the US, Liberty Mutual also offers multiple distribution channels to consumers for its Liberty Mutual-branded products: through exclusive agents in local sales offices countrywide, licensed telesales counselors and online. “The opportunity to join the Liberty Mutual organization is a direct result of the incredible work of the State Auto team, beginning with the transformation of our business and culture that began in 2015,” said State Auto President and CEO Mike LaRocco. “We’ve become a digital provider of auto, home and business insurance while remaining fully committed to the independent agency system, as we’ve been since our founding 100 years ago. Our partnership with Liberty Mutual will further that commitment to independent agents and contribute to the collective success of our agents, policyholders, shareholders and associates.” The transaction was approved by the State Auto Financial board of directors (upon the recommendation of a special committee of independent State Auto Financial directors), as well as the State Auto Mutual board of directors (upon the recommendation of a special committee of independent State Auto Mutual directors). The deal is expected to close in 2022, pending State Auto Mutual member approval, State Auto Financial shareholder approval, receipt of required regulatory approvals and other customary closing conditions. In connection with the merger of State Auto Financial, State Auto Mutual has entered into a voting agreement with Liberty Mutual under which it has agreed to vote its 58.8% interest in State Auto Financial in favor of the merger. Waller Helms Advisors LLC and Goldman Sachs & Co. LLC acted as financial advisors and Skadden, Arps, Slate, Meagher & Flom LLP acted as legal advisor to Liberty Mutual in the transaction. Houlihan Lokey Capital, Inc. acted as financial advisor and Kirkland & Ellis LLP acted as legal advisor to the Special Committee of Independent Directors of State Auto Financial in the transaction. Keefe, Bruyette & Woods, a Stifel Company, and BofA Securities, Inc. acted as financial advisors and Squire Patton Boggs (US) LLP acted as legal advisor to the Special Committee of Independent Directors of State Auto Mutual in the transaction.
Liberty Mutual Insurance Announces Key Executive Leadership Appointments
Liberty Mutual Insurance Chairman and Chief Executive Officer David Long announced key executive leadership appointments that will provide more creative, complete solutions for the company’s customers and partners and create better opportunities to address their evolving needs.
“Today’s announcement marks an important chapter for the company. These new executive leadership appointments better position us now and in the future as a leading global insurer and will help us capitalize on opportunities across our businesses,” said Long. “I continue to be extremely proud of the commitment shown by our employees and leadership to accelerate innovation, prioritize digital-first and data-driven results and harness our full resources to provide excellent service to our customers around the world.”
Effective July 1, new executive leadership appointments include:
Tim Sweeney is named President, Liberty Mutual. He will be responsible for overseeing the company’s three business units (Global Risk Solutions, Global Retail Markets, Liberty Mutual Investments) and will report to Long. Sweeney was previously President, Global Retail Markets.
Neeti Bhalla Johnson is named President, Global Risk Solutions. She will be responsible for overseeing the company’s commercial and specialty insurance business unit and will report to Sweeney. Bhalla Johnson was previously President and Chief Investment Officer, Liberty Mutual Investments.
Jim MacPhee is named President, Global Retail Markets. He will be responsible for overseeing the company’s retail insurance business unit and will report to Sweeney. MacPhee was previously President and Chief Operating Officer, Global Retail Markets – U.S.
Vlad Barbalat is named President and Chief Investment Officer, Liberty Mutual Investments. He will be responsible for overseeing the company’s investments business unit and will report to Sweeney. Barbalat was previously Executive Managing Director and Co-Head of Strategy & Asset Allocation, Liberty Mutual Investments.
New Liberty Mutual Insurance executive appointments include (L-R) Tim Sweeney, Neeti Bhalla Johnson, Jim MacPhee and Vlad Barbalat.
President, Global Risk Solutions Dennis Langwell Announces Retirement
The company’s President, Global Risk Solutions Dennis Langwell also announced he will retire at the end of 2021. Langwell held multiple leadership roles during his notable 26-year career at Liberty Mutual and will serve in an advisory capacity as Vice Chairman, Liberty Mutual Insurance Operations until the end of the year, reporting to Long.
“I’d like to thank Dennis for the extraordinary contributions he’s made at the company and in the industry over his remarkable career,” said Long. “Not only did Dennis lead tremendous growth for Liberty Mutual during numerous roles and across multiple functions, he’s also been instrumental in our Diversity, Equity and Inclusion efforts as a champion for our Employee Resource Groups. I am personally grateful for his counsel and friendship and we wish him the very best.”
“It’s been a true honor to be part of Liberty Mutual for over 25 years and I’m very proud of the accomplishments we’ve achieved together,” said Langwell. “I highly respect the extensive business and leadership experience that Neeti brings to the executive team and Global Risk Solutions. Liberty Mutual continues to be a global leader in the industry and has a great future ahead.”
Liberty Mutual Insurance Appoints Dennis Cook to Lead IronHealth
Dennis Cook has been appointed President, IronHealth, Global Risk Solutions North America.
In his role, Dennis will drive the continued profitability and growth of an organization that provides specialty healthcare liability and medical stop loss solutions that meet the complex risk management needs of hospitals, healthcare providers, managed care organizations, life science companies, senior care facilities, and self-insured employer health plans. Liberty Mutual works with brokers to seamlessly provide a full range of primary and specialty solutions for healthcare companies across the US and Canada.
“Dennis has demonstrated success growing a profitable healthcare insurance business of scale,” said North America Specialty President Mathew Dolan. “He has the perfect blend of healthcare underwriting, product management and leadership skills to continue IronHealth’s growth as a leading provider of specialty solutions.”
Cook joined Liberty Mutual four years ago. Most recently, he served as IronHealth’s Chief Liability Officer, where he successfully led an operation with $220 million in gross written premiums. Prior to joining Liberty Mutual, Cook was at AIG.
In addition to Cook, Liberty Mutual has appointed Robert Hatcher as Chief Underwriting Officer, Stop Loss. Hatcher will report to Cook and lead Liberty Mutual’s medical stop loss offering.