According to a new PwC report, three legacy transactions were publicly disclosed in Q3 2025, bringing the year-to-date total to 26 deals with a combined £1.36 billion in gross liabilities transferred.
In Q3 2025, Carrick Re Ltd entered into an LPT with the UK branches of National Casualty Company of America, National Casualty Company, and Nationwide General Insurance Company ahead of a proposed Part VII Transfer.
Marco Capital also acquired Benteler Re, a captive reinsurer in Ireland, while Ashmir Insurance Company (formerly Polygon Collective Insurance Company) acquired Interserve Insurance Company, a run-off entity with Professional and Employers’ Liability exposures.
“The three deals disclosed in Q3 2025 mark a slowdown in deal activity compared to an active first half of the year, where we saw a total of 23 deals disclosed,” PwC’s report observed.
As previously reported, activity in the market had remained steady through Q2, with 10 publicly disclosed deals.
“Although there was a modest decline in volume compared to the first quarter, the strategic use of run-off structures remains a consistent feature of insurance market dynamics globally,” PwC said at the time.
It’s worth noting that year-to-date totals are slightly ahead compared to the same period last year, with 26 deals compared to 23 deals in Q1-Q3 2024.
PwC’s Non-life Insurance Run-off Deals – Q3 2025 Review also highlighted that AI offers legacy market participants a unique opportunity to unlock new value quickly and at scale, particularly in diligence and claims, long recognised as the engine room of performance and profitability.
PwC said, “Ensuring that an AI strategy is targeted and executed rigorously is critical. Outcomes depend less on the scale of investment than on how intelligently it is directed. The gap between compounding return on investment and sunk cost is widening as the industry enters a period of accelerated digital reinvention. Organisations that focus on clear use cases, measurable outcomes and disciplined implementation are more likely to achieve sustainable returns.
“A recurring pain point for run-off consolidators is early-stage triage. Significant time is spent extracting data, populating pricing models and drafting investment committee (IC) papers, time that would be better applied to judgment and strategy.”
With this in mind, PwC noted that it is developing an AI-enabled deal triage tool to streamline front-end workload.
Using aforementioned agentic AI workflows, the tool will reportedly ingest and validate data from standard diligence documents, populate pricing models with extracted and transformed data, and generate an investment committee–ready summary of key findings and model outputs.
“Expected benefits include shorter cycle times and greater consistency, with a human-in-the-loop to oversee outputs and provide challenge. We are also supporting parties in the legacy space with onboarding GenAI licences, accelerating use cases, development of custom workflows, and have built an Agentic AI solution to significantly accelerate claims investigation, case review and strategy. Please get in touch with one of the team to find out more,” PwC explained.
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