Business Overview

Underwriting comes first – not just another collateralised ILW writer, but an experienced team leveraging Lancashire and Cathedral’s expertise to build unique, tailored products.

Discipline – not seeking to deploy capacity for the sake of fees only. Thorough research of products and opportunities since its formation. Un-deployed capital is always returned to investors promptly.

Nimble reactions supported by a solid core of business – core product is a long-term part of reinsurance protection and capital relief planning but here is the ability to upscale and expand products dramatically following a market dislocation.

Balancing risk and reward – multiple analyses of exposures with comparison to historic events and own proprietary data across multiple lines.

Key Strengths

  • Backed up by Lancashire’s excellent track record and reputation.
  • Leveraging Lancashire’s existing systems, data, relationships, infrastructure and processes in place.
  • Fully dedicated team that writes its own deals and has its own underwriting committee.
  • One of the few entities generating new business without cannibalising existing accounts.
  • Very transparent with frequent reporting, no black-box concept.
  • Able to generate extra returns by selling multi-class reinsurance covers where current supply is scarce.
  • Investors can now have access to Lancashire’s underwriting expertise without the correlation to traditional financial markets.

Targets

  • Focusing on multi-class fully collateralised reinsurance across different classes such as property catastrophe, aviation, marine, energy and terrorism.
  • Deploying capacity on 1 January and 1 July of every year, with potentially doing even more during market dislocations via special draws.
  • Educating sophisticated reinsurance clients and designing bespoke products for them which will ultimately add value to their usual reinsurance purchases.
  • Targeting expected returns in the mid-teens, pre fees.