CNA Announces Next Steps in “Winning Company” Strategy

Tom Motamed, chairman and chief executive officer, CNA Financial Corporation (NYSE: CNA), recently announced a major set of strategies and key leadership appointments designed to move the global business insurer forward and succeed long term. Combining feedback from agents and brokers with recommendations from key decision-makers at CNA, Motamed has developed an operational strategy he considers a win-win.

“During my first few months here, I’ve spent a considerable amount of time meeting with our producers to discover firsthand what they want from CNA,” said Motamed. “Consistently, the messages are speed, ease of doing business and relationships with local underwriters. Our goal is to put into place strategies that will address these needs while positioning CNA as the go-to carrier for agents and customers.”

After a comprehensive review of its strengths and opportunities, CNA will embark on the following strategies designed to increase top and bottom line growth:

• Further develop industry-specific technical expertise while maintaining a broad appetite. CNA will expand its strong profitability and market presence in construction and healthcare into other industry segments, including business services, commercial real estate, education, financial institutions, manufacturing, professional services, retail, technology and wholesale distribution.
• Manage its mix of business to improve profitability. While Specialty businesses -- including healthcare, financial institutions, directors & officers and professional liability -- will be CNA’s major growth engine, Standard Lines growth strategies will focus on key industry segments, as well as monoline opportunities such as equipment breakdown, marine, property and umbrella. The global insurer will also increase its presence in the excess and surplus lines arena.
• Extend geographic reach. CNA will expand its U.S. footprint by opening five new branches over the next year, adding resources and increasing local authority at the point of sale. In addition, CNA will be building its capabilities in Europe and Canada. A search is currently underway for new leaders in CNA Europe and CNA Canada.

In addition, Motamed announced other key leadership posts as critical to putting these strategies into effect:

• Expanded leadership responsibilities for two of his direct reports – Craig Mense, executive vice president and chief financial officer; and Tom Pontarelli, executive vice president and chief administration officer. Together, the three will share responsibility for strategy, results and oversight of all CNA business units.
• Creation of an Operating Committee which -- under the direction of Motamed, Mense and Pontarelli -- will assist with development and implementation of strategy tactics.
• Appointment of Peter Wilson to president and chief operating officer of CNA Specialty.
• Searches to fill three new positions. A president and chief operating officer of a newly formed CNA Commercial, which includes Business Insurance, Middle Market and Risk Management; and an executive vice president of Worldwide Field Operations, responsible for Distribution and field operations. Both positions will report to Motamed. In addition, a senior vice president of Corporate Strategy and Development will report to Mense.
• Appointment of Mike Coyne, former senior vice president of Finance, to senior vice president of Business Insurance, a position previously held by Larry Illion. Coyne will build on Illion’s successes, including the Small Business processing platform and CNA Connect® product.

Finally, Motamed announced a reconfiguration of CNA’s field structure that will now feature six zones and a separate seventh zone designation for its Wholesale Excess & Surplus unit. “This reconfiguration will expand our U.S. footprint and better align our branch structure with our strategy to drive profitable growth,” Motamed continued.

Serving businesses and professionals since 1897, CNA is the country’s seventh largest commercial insurance writer and the 13th largest property and casualty company. CNA’s insurance products include standard commercial lines, specialty lines, surety, marine and other property and casualty coverages. CNA's services include risk management, information services, underwriting, risk control and claims administration. For more information, please visit CNA at www.cna.com. CNA is a registered trade mark of CNA Financial Corporation.