HCC Holdings is buying London-based underwriting agency, Feasey Slot Management (FSM). The transaction is based on an earn out over the next five years.

FSM was formed last year by Tony Feasey and Peter Slot, both former Lloyd's underwriters, specialising in accident and health reinsurance.

FSM currently underwrites on behalf of Houston Casualty Company, an HCC subsidiary, as well as a consortium of Lloyd's syndicates.

Stephen Way chairman and chief executive officer of HCC said: "Our acquisition of FSM is a continuation of our long-standing strategy of investing in speciality insurance operations and we are extremely pleased to have reached this agreement. Tony Feasey and Peter Slot are very experienced professionals and the ideal team to lead our London-based accident and health operations into the next century."