A spokesperson for Kemper, Linda Kingman, said the companys major focus now is its insurance services business, although it retains its Eagle insurance unit, which provides specialized workers compensation insurance for maritime and other high hazard industries.

Pat Hirigoyen, a spokesperson for The St. Paul, said the business being bought would involve significant premiums over time and is a “really great opportunity for lines we intend to grow.”

He added that a lot of the independent “agents who handle this for Kemper are our agents as well.” Renewals will be done on a policyholder-by-policyholder basis and The St. Paul doesnt expect any material effect this year to the companys bottom line. But the renewals, in terms of dollars, could amount to “several hundred million over time,” he said.

The lines involved include small commercial, middle market commercial, inland and ocean marine, and architects and engineers professional liability.

The St. Paul said it is not assuming any liabilities for Kemper or its affiliates.

Mike Miller, chief executive officer-Specialty Commercial, said, “A number of key Kemper professionals will be joining The St. Paul and will work with us to ensure a smooth transition for customers as well as agents and brokers.”

Reproduced from National Underwriter Edition, May 19, 2003. Copyright 2003 by The National Underwriter Company in the serial publication. All rights reserved. Copyright in this article as an independent work may be held by the author.