Axon Underwriting Services is set to build its contaminated and consumer products recall book with a deal to buy a renewal portfolio from Allianz Global Corporate & Specialty (AGCS), after setting up a new crisis management unit staffed by former AGCS executives earlier this year.
The book consists of US contaminated and consumer products recall insurance business written through Allianz Global Risks US Insurance Company.
Somerville, New Jersey-based program administrator Axon had already expanded its portfolio of specialty insurance products in January this year by adding capabilities to offer contaminated product recall, consumer goods product recall, and restaurant foodborne illness and contamination insurance.
As previously reported, the firm launched the new capabilities after hiring Alex Pittignano and Marcos Garcia Norris as senior vice presidents from AGCS.
Pittignano had served AGCS as an underwriting executive within the company’s crisis management team, while Norris held the position of crisis management regional practice group leader in North America.
The three products are all underwritten on a non-admitted basis on paper from the E&S specialty companies of US giant carrier Nationwide.
The programs provide capacity of up to $10mn for buyers.
Commenting on the AGCS renewal rights deal, Pittignano said: “Our staff of experienced recall underwriters is prepared to ensure a smooth renewal for clients during this transition.”
Garcia Norris added: “Companies that choose to renew policies with Axon will benefit not only from an overall smooth transition, including the knowledge of their renewals by the Axon underwriters, but also from Axon’s best-in-class underwriting capabilities, dedicated claims handling, and very solid financial strength.
“For Axon, this opportunity helps further position us as a leading crisis management insurance company and supports our strategy of expanding our customer base in the US.”
Axon was formed in 2013 and operates as a program administrator and MGA platform. It has underwriting partnerships with companies such as Navigators, AIG, WR Berkley and also serves as a Lloyd’s coverholder.
Among its other programs are a storage tank liability product backed by RLI and an AIG-underwritten environmental and general liabilities exposures offering.