Posted on 11 Jun 2009
Quincy Krosby will be leaving Hartford Financial Services Group Inc., the insurer that posted $12.4 billion of losses tied to the subprime-mortgage crisis.
Krosby quit as Hartford’s chief investment strategist yesterday after five years with the company to become the chief market strategist at Prudential Financial Inc.’s U.S. annuities business. Ramani Ayer, Hartford’s chief executive officer, last week said he will leave. President Thomas Marra, once a candidate to run the firm, resigned in February, and David Znamierowski left as chief investment officer in October.
Hartford’s losses since the beginning of 2007 from the financial crisis are second only to American International Group Inc. among insurers. Once the world’s biggest insurer, AIG wrote down $89.8 billion and received four government bailouts after wrong-way bets on derivatives left it hours from bankruptcy in September.
“It’s a difficult industry to be in,” said Robert Haines, an analyst at CreditSights Inc. in New York. “Hartford has taken some particular hits in their investment portfolio. Everything that could go wrong has gone wrong.
The 199-year-old insurer said in November it was cutting 500 jobs, or almost 2 percent of the staff. The dismissals are part of a plan to save $250 million annually by the end of 2009, spokeswoman Debora Raymond said.