Office mergers mooted in Fusion restructure
Towergate is planning a further restructuring of its Fusion underwriting agency amid talks with insurers to re-select its panel.
Clive Nathan, chief executive of Towergate Underwriting, confirmed that two of Fusion’s seven offices may be merged, but said no decisions had yet been taken.
Nathan added that he was pleased with discussions that have taken place with a number of insurers about being included on the Fusion panel.
“This has been a competitive process involving seven of the top 10 insurers that are keen to support Fusion – recognising it as a high quality business which will continue to offer great value to brokers,” he said.
He said Fusion would be making a final decision on the make-up of the consortium this week and would then make a formal announcement by the end of September.
A series of insurers gave notice to Fusion over the summer to terminate their binding agreements following poor returns. The move followed the departure of former Fusion bosses Kevin Pallett and Geoff Crisp.
However it is understood that an amicable deal was struck for the two founders who were keen to leave the business.
Towergate has insisted that Fusion would have a full panel next year and that the notice periods served by insurers were part of the negotiating process.
One insurer source said however: “It has been clear that there are negotiations taking place, but Towergate needs to know it cannot win every time – maybe it is starting to realise that now.”