Nationwide has reached an agreement to acquire the renewal rights for the reinsurance business of Markel Insurance as part of a deal expected to close in August, subject to customary closing conditions.
The transaction involves approximately US$1.2 billion in premium and will see Nationwide delegate underwriting and management of all renewal policy opportunities to Ryan Re Underwriting Managers, a reinsurance managing general underwriter under Ryan Specialty.
Under the terms of the agreement, no insurance entities are being sold. Markel’s global reinsurance division will enter runoff, with premiums continuing to earn out over the next two to three years.
Nationwide said the arrangement supports its plans to increase its footprint in the specialty reinsurance market. Kirt Walker (pictured above, left), CEO of Nationwide, said the collaboration with both Markel and Ryan Specialty creates an opportunity for the company to further diversify its risk portfolio.
“Nationwide’s collaboration with Ryan Specialty, and Ryan Re in particular, has positioned us to increase our presence in the specialty reinsurance market. This strategic move accelerates this progress, and we’re excited about the diverse portfolio it unlocks,” Walker said.
Nationwide and Ryan Specialty first formalized their reinsurance partnership in 2019 through the creation of Geneva Re Ltd., a Bermuda-based reinsurance company jointly owned by both firms. Under this structure, Ryan Re was appointed as the exclusive underwriting manager.
Ryan Re Underwriting Managers specializes in North American property and casualty treaty reinsurance, operating under a long-term underwriting agreement with Nationwide Mutual, which holds an A+ rating from both A.M. Best and S&P.
Markel Insurance, meanwhile, said the sale is part of its strategy to simplify operations and focus on its core specialty insurance markets. Simon Wilson (pictured above, right), CEO of Markel Insurance, said that while the company values the work of its global reinsurance team, its scale limited its ability to become a leader in the reinsurance sector.
"Nationwide and Ryan Re have the scale, market presence, and expertise necessary to leverage these renewal rights to build an even stronger foundation for long-term success," Wilson said. "We are confident that they will deliver for our reinsurance customers and trading partners."
Markel’s global reinsurance unit generated over US$1 billion in reinsurance revenue in 2024, providing casualty and specialty treaty capacity to markets worldwide. While profitable in certain segments, the division faced challenges scaling up to compete with larger global reinsurers.
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