"Brexit Implications for the Runoff Business: A Macroeconomic Perspective" by Frank Schmid

[Editor's note: Frank Schmid is the head of P&C Inforce Management, Commercial and Legacy, AIG. This article was previously published in the Spring 2017 Issue of AIRROC Matters, the magazine of the Association of Insurance and Reinsurance Run Off Companies. Copyright 2017, Frank Schmid.]

On June 23, 2016, the United Kingdom held a referendum on membership in the European Union (EU), which the country had joined in 1973. As a surprise to many, the referendum resulted in a majority favoring an exit. The Brexit vote prompted a change in political leadership in the following month, with Theresa May being appointed …