Best’s News & Research Service - June 09, 2014 04:08 PM (EDT)
Hartford Names Internal Successors as President and CEO McGee Steps Down
HARTFORD, Conn. //BestWire// - Hartford Insurance has named Christopher Swift its new chief executive officer and Douglas Elliot the company's new president, effective July 1. They will succeed current President and CEO Liam McGee. Swift, currently Hartford's chief financial officer, will be succeeded by Beth Bombara, president of a runoff annuity operation within Hartford.
McGee will continue in his other job as board of directors chairman, while continuing medical recovery from a removal of a small pre-cancerous brain tumor 18 months ago (Best's News Service, Jan. 14, 2013). "For nearly five years, Liam has successfully led the Hartford through a financial turnaround and strategic transformation that have resulted in a strong, focused company with attractive growth prospects," said Thomas Renyi, Hartford's presiding director, in a statement.
"With our strategic transformation largely complete, it is the right time for the company and me personally to make this transition," McGee said in a statement.
Swift joined Hartford in March 2010 and previously held various senior leadership and finance roles at American International Group. Swift began his career in public accounting at KPMG LLP focused on financial services and was eventually appointed head of the global insurance industry practice.
Elliot joined Hartford in 2011 as president of commercial markets. Prior to that he had been president of the Munich Re subsidiary Hartford Steam Boiler and had been a senior adviser at Aspen Insurance Holdings. He began his career as a public accountant before moving through the ranks to be the chief operating officer at Travelers Property Casualty.
Bombara joined Hartford in 2004, served as senior vice president and controller at Talcott Resolution before becoming its president in July 2012. Before joining Hartford, Bombara was a senior manager in Deloitte & Touche LLP's audit practice and was a partner at Arthur Andersen LLP.
The change comes at a time when Hartford is looking to improve its efficiency. "We will remain focused on executing our strategy to deliver greater shareholder value by profitably growing our property and casualty, group benefits and mutual funds businesses, reducing the size and risk of our legacy annuity block and becoming a more effective and efficient organization," Renyi said.
McGee, in reporting the company's annual results, said Hartford had expanded margins in property/casualty and group benefits and improved performance in mutual funds. The company reported a 2013 net income of $176 million, well above the 2012 net loss of $38 million. During the fourth quarter of 2013, Hartford's net income was $314 million, well above the $46 million net loss it reported during the same quarter of 2012. Core earnings in Hartford's property/casualty, group benefits and mutual fund businesses increased 41% over 2012.
Most rated units of Hartford have a current Best's Financial Strength Rating of A (Excellent).
(By Thomas Harman, associate editor, BestWeek: Tom.Harman@ambest.com)