INSURANCE BRIEFS

INSURANCE BRIEFS

FRANCE'S UAP CLEARED

TO PURCHASE SUN LIFE

BRUSSELS - The European Commission said Wednesday it was clearing a deal under which French insurance and banking group UAP will buy sole control of the British insurance group Sun Life.

The commission said in a statement the deal would not raise competition problems because there was no overlap of the activities in Britain and other European Union member states.

"Therefore, the commission has decided not to oppose the concentration and to declare it compatible with the common market," the statement said. Terms were not announced.

Sun Life has been jointly controlled since 1991 by UAP and South African- based insurance and financial services company Liberty Life Group.

ACADEMY INSURANCE SET

TO BUY UNITED INSURANCE

NORTH LAUDERDALE, Fla. - Florida-based Academy Insurance & Financial Services Inc. announced Wednesday that it has signed a letter of intent to acquire the United Insurance Co., which services the South Florida area.

Academy will acquire United's four offices, currently generating approximately $6 million in premium sales. In addition, Academy will acquire United's real estate valued at $1.1 million.

S.R. Cohen, chief executive officer of Academy, said that "United has built a strong customer base over the past 25 years and is an important acquisition and a tremendous addition to Academy's present locations." On Aug. 18 Academy announced a letter of intent to acquire the Knight Insurance Agency of Miami.

Mr. Cohen, said he is very pleased with the present rate of expansion of Academy.

A&A SERVICES PLANS

TO REDEEM DEBENTURES

NEW YORK - Insurance broker Alexander & Alexander Services Inc. said Wednesday it will redeem its outstanding 11 percent convertible subordinated debentures due 2007. All $60.2 million of outstanding securities will be redeemed as of Oct. 13, 1995, together with accrued interest and a 1.47 percent redemption premium.

A&A said it plans to fund the redemption through borrowing under the more favorable terms of its revolving credit facility.

CIGNA REPRESENTATIVE

UNIT OPENS IN SHANGHAI

SHANGHAI, China - Cigna Corp. said it opened a representative office in Shanghai. It isn't allowed to write insurance but "will instead focus on investigating the local market and Chinese insurance firms," said Donald Dong, the company's senior representative.

Cigna will also offer risk-management services to multinational clients and

serve as a consultant, he said.

The firm has applied to open a branch in Shanghai with separate life and property and casualty licenses.

PRIMEX TO BOOST POLICY

LIMITS TO $25 MILLION

BRIDGETOWN, Barbados - Primex, an excess liability insurer for chemical manufacturers and related industries, said it has increased its policy limits to $25 million, effective for July 1 policies.

The increase came thanks to a recently negotiated reinsurance treaty with American Re-Insurance Co., Princeton, N.J.

Tom Simon, Primex chairman and director of administration for Georgia Gulf Corp., said the increase will allow the company's 15 member oil companies to have an additional $10 million in coverage without having "to contend with the fluctuations of the commercial insurance market." The coverage limit had been $15 million.