Insurer Hallmark Financial Explores Splitting Off Its Specialty Commercial Lines Business
Currently the company is comprised of three business segments—specialty commercial, standard commercial and personal.
The specialty commercial segment represented 75 percent of the company’s gross premium written ( 68 percent of net premium written), through the first nine months of 2020. The segment’s diversified portfolio of products is placed almost exclusively through wholesale brokers, with the vast majority written on an excess and surplus lines basis.
An initial evaluation of the potential separate by Hallmark Financial’s board of directors indicates that the action could unlock significant value by segregating the operational structures of its segments.