How to extract value from a discontinued insurance business*

Even the most stable insurance companies must sometimes contend with unanticipated liabilities or an unprofitable line of business. With guidance from professionals in a variety of disciples, insurance companies exiting a line of business can more easily navigate this time-consuming and delicate endeavor. Particularly for companies exposed to insurers and re-insurers as a result of run off or insolvency, seeking outside expertise can help assure financial recovery.

If this is your situation

• You are an owner, shareholder or manager of a company with—or exposed to—run-off liabilities
• You are considering exiting the live insurance market entirely or for discrete lines of business
• You need to ensure regulatory compliance throughout the development and implementation of your chosen run-off strategy
• You are a regulator or liquidator of discontinued businesses
• You need to effectively implement, monitor and control a strategic run-off plan
• You want to divest run-off liability or maximize an investment opportunity
• You need due diligence support for a potential run-off acquisition opportunity
• You seek to extract capital from a captive insurance subsidiary or affiliate for a parent company
• You represent parties in a dispute involving a discontinued liability

How PricewaterhouseCoopers can help you

Part of a global practice with decades of experience, PricewaterhouseCoopers’ (PwC) Insurance Restructuring Group helps insurance companies discontinuing a line of business develop and implement value-saving exit strategies and business plans. For both solvent and insolvent exits, we provide ongoing services designed to enhance portfolio management, reduce risk and extract value from discontinued portfolios. Companies that rely on the advice of professionals in PwC’s Insurance Restructuring Group maximize shareholder return, maintain positive policyholder relationships and reduce the risk of damage to their reputations.

Services we provide include the following:

• Run-off strategies
• Finality solutions
• Regulatory compliance and communication
• Claims management
• Litigation management
• Damage assessment
• Risk management and assessments
• Due diligence reviews
• Actuarial assessments and reviews
• TPA selection and management
• Commutation and settlement of inward exposures
• Asset recovery and debt collection

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