In this iPMI Global Insights article, iPMI report author Ian Youngman, takes a look at the news, that Global Benefits Group has sold TieCare International.
About the Author
Ian Youngman is an independent writer and researcher specialising in insurance. He writes regularly for a variety of magazines, newsletters, and on-line services. He publishes a range of market reports, and undertakes research for companies. To read his latest report, International Health Insurance 2023, please click here, or visit the REPORTS section of iPMI Global.
- GBG Insurance Limited entered into Administration on Thursday, 21 December 2023, by order of the Royal Court of Guernsey.
- Teneo Financial Advisory’s Alex Adam, Andrew Wood and Michael Tagg were appointed Joint Administrators of GBG Insurance Limited on 21 December 2023. The affairs, business and property of the Companies are managed by the Joint Administrators, who act as agent of the Company and contract without personal liability.
- On January 16th, 2024, GBG Insurance Limited and its affiliates sold the businesses of TieCare International, Clifford Allen Associates | SHIP, and the international student business.
- All businesses will trade as normal, with insurance underwritten by an external insurer, and will be within a new holding company.
- The Joint Administrators have finalised the sale of TieCare International to Bison Capital, a financial investor, and all policyholder benefits are now secured by Crum & Forster - an A Rated AM Best US insurance group.
- Crum & Forster has been writing property & casualty, accident & health and specialty insurance solutions for 200 years.
- Crum and Forster writes international student insurance.
- For 40 years, TieCare International has been a leader in providing employee benefit plans to international schools around the world.
- TieCare offers a range of customized insurance solutions and currently has more than 150 school customers in 50+ countries utilizing medical, life, disability, and travel insurance cover.
- TieCare was part of the Educational Services division of Global Benefits Group (GBG), a GBG Insurance Limited subsidiary.
- Bison Capital is a Los Angeles and New York based private equity firm that makes growth capital investments in middle‐market companies, public or private, for expansion, acquisitions, and balance sheet recapitalizations.
- The firm’s primary investment focus is partnering with entrepreneurs and management teams seeking capital to grow their businesses.
- Failed GBG Insurance faces an investigation from the Guernsey Financial Services Commission (GFSC) on how a large hole in its balance sheet discovered in March 2023 went unnoticed.
- Directors of GBG Insurance approached the regulator in March 2023 on discovering that while audited accounts showed the company was in good health, assets totalling millions shown in the accounts did not exist, according to the GFSC.
- The GFSC’s investigation is likely to be lengthy and complex, with the commissioner having said it is unable to predict its outcome.