The insurer will work with Arch Managing Agency Limited to transfer managing agency responsibilities in the next few months, but this is subject to Lloyd’s approval

Specialist motor insurer ERS has revealed it is backing Lloyd’s syndicate Arcus 1856.

This gives it the capability to target specialty commercial and reinsurance lines.

The terms of the deal will see ERS buy the business capability, but not prior liabilities.

ERS will now work with Arch Managing Agency Limited to transfer managing agency responsibilities in the next few months, but this is subject to Lloyd’s of London’s approval.

This news follows ERS’s plans to expand its core motor business and enter specialty commercial insurance lines, under the stewardship of new group chief executive Peter Bilsby and private equity owner Aquiline.

Bilsby said: “Following on from announcing our expansion plans, we are delighted to have been able to move quickly to kick-start our growth plans.

“We have an ambitious agenda to create a balanced, multi-class insurance and reinsurance business over the medium term.

“The last month or so has been exceptionally busy as we have been building out our strategy to create a modern, analytical business - we’re looking forward to welcoming the Arcus team into the fold. We can’t wait to get started”.