Bermudian-based multi-line reinsurer Fortitude Re has acquired two third-party administrators from AIG.

Parent company Fortitude Group Holdings LLC said the acquisitions of Fortitude Life & Annuity Solutions Inc, a licensed life and annuity TPA, and Fortitude P&C Solutions Inc, a licensed property and casualty TPA, are the final step in Fortitude Re’s acquisition of AIG’s legacy insurance operations.

FLAS comprises 250 professionals based in Nashville and currently provides policyholder services for approximately four million life insurance policies issued by AIG, a portion of which are reinsured by Fortitude Re.

FPCS comprises 50 professionals based in Jersey City and currently oversees approximately 5,000 complex casualty claims on policies issued by AIG and reinsured by Fortitude Re.

The company said completion of the FLAS acquisition provides Fortitude Re with a highly cost-effective, experienced and scalable administration platform for run-off life and annuity insurance blocks, allowing Fortitude Re to offer additional transactional flexibility and structural solutions for its counterparties.

The FPCS acquisition allows Fortitude Re to provide proactive casualty claim management services for many employee injury, legacy environmental and complex casualty programmes.

James Bracken, Fortitude Re CEO, said: “Through our scaled life administration platform, we are well positioned to provide a variety of operating models to our life and annuity insurer clients as they seek to manage their run-off portfolios.

“Our P&C claims team are experts in complex casualty claims and their deep experience can deliver real value and confidence to Fortitude Re’s clients.”

Fortitude Re is Bermuda’s largest multi-line composite reinsurer.

The independent company is backed by a consortium of investor groups led by the Carlyle Group and T&D Insurance Group.