By Rebecca Delaney

Jan 22 - (The Insurer) - Gallagher's MGA unit Pen Underwriting has extended its strategic partnership with QBE in the UK and Ireland with the renewal of two capacity deals totalling £420mn ($518mn).

The renewed agreements focus on the niche areas of public authority risks, with the first area of core specialism in the deal focused on Pen’s public sector business in the UK, RMP.

Under the new three-year agreement, QBE will support across property and casualty, financial lines and motor fleet risks, including police authorities.

As an insurance provider to the local authority market, RMP works with brokers and their clients across local government, police, fire and education to develop multi-class risk management and insurance programmes.

QBE’s renewed capacity will also support Pen’s specialism for the hazardous, environmental and bulk liquid industries, specifically property and casualty risks, in addition to excess of loss in the UK and Ireland.

These products are tailored to specialist segments, and also include risk management expertise, direct access to experienced technical underwriters, crisis management and loss mitigation services, including 24/7 emergency environmental response.

The new five-year deal takes this particular strategic partnership in the hazardous goods and environmental industries beyond the quarter of a century mark, having began back in 2001.

Commenting on the renewal, RMP managing director Stephen Halsall said: “Our overriding mission is to help organisations reduce their total cost of risk – through proactive risk management, insurance protection and effective claims handling – so they can reinvest any sums saved into frontline services provision.

"Long-term capacity commitment is what underpins our ability to keep delivering on that mission and QBE’s continued support in ensuring we can look after our public authority and education clients is highly valued.”

Anna Bennett, director of underwriting, UK casualty at QBE Europe, said: “We are delighted to be further extending our long-term strategic partnership with Pen and supporting their expertise in delivering significant value, continuity and stability to sectors of fundamental societal and economic importance.

"We look forward to continuing our collaborative commitment to these niche risk sectors and growing and expanding together over the years to come.”