Northern Trust Corporation (NTRS) is experiencing a strong growth in delivering solutions to insurance companies. The addition of new clients and an increase in services to its existing clients have helped the company post strong growth.
Northern Trust has added more than $95 billion in new insurance assets in the last 18 months. New insurance mandates accounted for a 20% increase in global insurance assets serviced over this time frame.
With a continuous effort in developing integrated solutions for custody, investment accounting and operations outsourcing, particularly for insurance clients, Northern Trust now services in excess of 230 insurance relationships worldwide.
The company continues to receive business interest across all sectors of the insurance market including general insurance, life assurance, pensions and retirement savings, captive insurance, protection and indemnity and the specialist Lloyd’s insurance market in the UK.
The recent biggies to join Northern Trust’s insurance client list include KLP (Kommunal Landspensjonskasse), one of Norway’s largest life insurance companies; Navigators Insurance Company, a subsidiary of The Navigators Group Inc.; and ProMutual Group, a leading provider of medical liability insurance in the United States.
The company has also strengthened its insurance team. This includes Dennis Case, who joined as global product manager for the insurance accounting and financial reporting outsourcing solution, and Michael Dowd, senior product manager.
While low interest rates, which appear set to stay for much of 2010, continue to restrain earnings of Northern Trust, impacting net interest income, securities lending and money market mutual-fund fees, we expect increased asset management and servicing fees amid improved equity markets and higher volumes.
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