#United States #Boston #CMC #Alan Gray #ECRA

Alan Gray: The New Pool Manager for ECRA and CMC Reinsurance Pools

On June 10, 2025, Alan Gray LLC, along with its daughter company A.G. Risk Management, was officially appointed as the new pool manager for the Excess and Casualty Reinsurance Association (ECRA) and Carpenter Management Corporation (CMC) reinsurance pools. This decision comes after a thorough evaluation process involving various stakeholders, including pool members, intermediaries, and cedents, who sought a firm capable of expertly handling legacy claims administration.

The significance of this appointment cannot be overstated. The ECRA pool has a long historical background, underwriting reinsurance business from 1950 to 1982, while the CMC pool has been in operation from 1966 up until the same conclusion date. Both pools encompass a considerable volume of long-tail exposures related to asbestos, pollution, and health hazards. For many years, these portfolios were managed under the auspices of Excess Treaty Management Corporation (ETMC), which had been handling them via a run-off agreement that has been in place for over forty years. ETMC’s exit from active management in 2024 triggered the need for a successor, which ultimately led to Alan Gray stepping into this crucial role.

As part of the new Pool Manager Agreement, Alan Gray will be responsible for executing a variety of tasks related to the run-off of these reinsurance portfolios. These responsibilities will include managing claims administration, financial coordination, and data management services, all aimed at ensuring a seamless transition for stakeholders involved.

Seth Patel, the Chief Executive Officer of Alan Gray, expressed his gratitude and commitment to this new responsibility. He stated, "We’re honored to be entrusted with the stewardship of the ECRA and CMC pools. Our mission is to bring operational clarity, claims discipline, and a commitment to service excellence that supports all pool stakeholders." This assurance from the top leadership reflects Alan Gray's dedication to maintaining high standards of service in the legacy claims management sector.

Alan Gray has been in business since 1988 and is headquartered in Boston. The firm has built a reputation for its expertise in audit, forensic accounting, and complex claims advisory services geared towards both the insurance and reinsurance industries. Since its collaboration with Premia Holdings in 2018, Alan Gray has significantly expanded its capabilities, focusing on legacy runoff and liability management solutions.

Bill O’Farrell, the CEO of Premia Holdings, remarked on the importance of this engagement, stating, "This engagement highlights Alan Gray’s strength in legacy claim administration and reinforces Premia’s commitment to supporting complex run-off solutions." This reflects a growing trend in the insurance industry where companies are recognizing the need for specialized firms like Alan Gray to ensure effective claims management and risk mitigation.

This new venture not only showcases Alan Gray's expertise but also signifies the ongoing challenges faced by the insurance sector with legacy claims. As companies continue to navigate the complexities surrounding these long-standing issues, partners like Alan Gray play an essential role in driving operational efficiencies and reducing uncertainties for stakeholders.

The appointment of Alan Gray as the successor pool manager is a strategic decision that highlights the need for proficient management of historical claims while fostering transparency and accountability. This collaboration promises to bring a wealth of experience and a fresh perspective to the reinsurance landscape as both ECRA and CMC look to the future with renewed confidence.

For more information about Alan Gray and their services, please visit www.alangray.com or contact:
Massimo Colosi
Chief Operating Officer
Email: [email protected]
Phone: 617-426-6255

In conclusion, as the landscape of reinsurance continues to evolve, the strategic moves made by firms like Alan Gray lay the groundwork for more robust and coherent approaches to risk management and claims processing, ultimately benefiting all stakeholders involved.