Market Lane Insurance Group Pty Ltd has reached an agreement with ARAG Services Australia Pty Ltd to assume renewal rights for ARAG’s Legal Expenses Insurance (LEI) portfolio, effective Sept 12.
This arrangement will enable Market Lane to offer replacement LEI policies to ARAG policyholders as their current policies approach expiration over the next year.
The transition will be conducted under the “ML Specialty” brand, with policies underwritten by Lloyd’s of London through Market Lane’s existing delegated binding authority.
Market Lane has invited brokers to discuss upcoming renewals and to access resources such as its new Legal Documentation Library and a third-party legal assistance service.
Market Lane has clarified that all ARAG policies currently in force will remain valid and enforceable until their respective expiry dates.
The terms, conditions, and coverage of these policies will not be altered as a result of the transition.
ARAG will continue to provide underwriting and claims support for these policies throughout the run-off period, ensuring that policyholders retain their coverage until renewal.
This development follows ARAG SE’s decision to withdraw from Australia, announced in July 2025.
The German-based insurer stated that it would not renew existing policies or write new business in Australia, although it will continue to service current policyholders until their policies expire.
Renko Dirksen, CEO of ARAG SE, said the company’s business objectives in Australia have not been achieved as expected.
“After almost six years, the market has not shown the response we expected. Therefore, it’s time for us to leave,” he said.
ARAG SE, which operates as an underwriting agency in Sydney and is underwritten by HDI Global Specialty SE, has been active in the Australian legal expenses insurance sector since its entry into the market.
The company is known as a major legal insurer globally and is the largest privately owned insurance firm in Germany.
In its announcement, ARAG acknowledged the contributions of its Australian staff and partners.
“We extend our sincere thanks to our Australian colleagues for their efforts and to our distribution partners, brokers, and legal networks for their ongoing support,” Dirksen said.
