Prudential Financial considers sale of property/casualty line. (Companies).Less than a year after going public, Prudential Prudential is the name of two different companies and buildings named after them: Companies:
Newark. 1 City (1990 pop. 37,861), Alameda co., W Calif., on the east side of San Francisco Bay; inc. 1955. , NJ., said it's considering selling its property/casualty operations. The third-largest U.S. life insurer An individual or company who, through a contractual agreement, undertakes to compensate specified losses, liability, or damages incurred by another individual. An insurer is frequently an insurance company and is also known as an underwriter. said it is circulating cir·cu·late v. cir·cu·lat·ed, cir·cu·lat·ing, cir·cu·lates v.intr. 1. To move in or flow through a circle or circuit: blood circulating through the body. 2. information about its personal-lines property/casualty business to other companies to assess interest in its potential sale. In a brief statement, the company "stressed that it is exploring several alternatives and that it has not made a final decision." The possible sale doesn't come as a surprise, said Anthony Diodato, an assistant vice president at A.M. Best Co. Diodato noted that Prudential's chairman and chief executive officer, Arthur Ryan, has a history of selling or spinning off volatile business. Prudential spun off its reinsurance The contract made between an insurance company and a third party to protect the insurance company from losses. The contract provides for the third party to pay for the loss sustained by the insurance company when the company makes a payment on the original contract. operations--now known as Everest Re--in a public offering in 1995. It sold its health-care operations to Aetna Inc. a few years later. Ryan has said he expects the company to produce a return on equity of 12%, which the property/casualty business isn't generating. "This is their last piece of volatility," said John Andre, a vice president at A.M. Best. He noted the property/casualty business is small in relation to Prudential's other life and investment business. Prudential is the 33rd-largest U.S. property/casualty writer measured by total premiums written in 2001. |
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