Zurich will pull in $360m by selling its UK run-off business, Zurich Specialities London, at book value to Swiss Re.

The sell-off is part of Zurich's wider strategy to divest non-core business and release $1.5bn of capital.

Zurich is disposing of its UK run-off insurance business in a deal with Swiss Re, as part of a wider strategy to divest its non-core businesses and release $1.5 billion of capital.

A Zurich statement said: ‘It is expected that the transaction will allow repatriation over time of regulatory capital from Zurich Specialties London to its parent of approximately $360 million.’

The Specialities book contains US and UK broker placed commercial casualty policies. No new policies have been underwritten since 2005.

Swiss Re will take on the book's liabilities and gross assets totalling $950m.