Insurance agency applies to set up insurance company

GasanMamo Insurance Agency Ltd said yesterday it has made an application to the Malta Financial Services Authority to set up an insurance company to carry out general insurance business.

The intended name of the new company is GasanMamo Insurance Ltd.

GasanMamo's general insurance business is currently underwritten by CGU Insurance plc, a subsidiary of Aviva plc, the world's seventh-largest insurance group. Under the new arrangements CGU Insurance plc will, subject to the approval of the MFSA, transfer its insurance portfolio to GasanMamo Insurance Ltd.

Aviva plc, through one of its subsidiaries, Commercial Union International Holdings Limited, will own a financial interest in and provide technical support to GasanMamo Insurance Ltd until December 31, 2004.

GasanMamo traces its earliest beginnings in the insurance sector to 1947 and over the years has evolved into a leading local insurance agency earning recognition as a professional insurance provider and one of the market leaders in various classes of insurance.

The application is seen as a natural progression following the successful merger of the current agency in 1999 and demonstrates confidence in Malta and the Maltese insurance market, the company said.

The agency said GasanMamo Insurance Ltd would continue to place strong emphasis on the technical expertise of its staff, ensuring that products and services provided would match the highest international standards and serve as a foundation for continued growth.