Centre pulls out of credit enhancement risk

ART provider Centre Group has been the latest unit within Zurich Financial Services to announce a reorganization of its activities, and it has started a withdrawal from credit enhancement business. Centre will not longer write new credit enhancement but has committed to supporting its existing book. A spokeswoman for Zurich told AIC that Centre had been finding it hard to write this business because of its rating downgrades this year. Zurich and Centre carried out a review of the business and concluded credit enhancement was no longer part of the group’s future strategy.