Bermuda-based Montpelier Re Holdings Ltd. has joined with other investors in capitalizing a new Bermuda reinsurer, Blue Ocean Reinsurance Ltd.
Blue Ocean will offer retrocessional protection, or reinsurance for reinsurers, in the property catastrophe market. Blue Ocean has been capitalized with commitments for $300 million of common and preferred equity, including a $133 million investment by Montpelier.
Blue Ocean will provide fully collateralized retrocessional protection to parties other than Montpelier and has no current plans to obtain a rating from any rating agency. Initially, Blue Ocean anticipates underwriting gross aggregate policy limits in excess of $350 million.
Montpelier Agency Ltd., a subsidiary of Montpelier, will perform underwriting services for Blue Ocean, enabling Montpelier to leverage its skill set on a capital base distinct from Montpelier Reinsurance Ltd. John Bassett, a director of Montpelier Agency Ltd. and previously responsible for Montpelier’s retrocessional business, will oversee the underwriting.
Topics Reinsurance
Was this article valuable?
Here are more articles you may enjoy.
AI Models May Soon Self-Replicate Across Smart-Home Devices, Anthropic Warns 
Europe’s Insurers Cut Coverage of Weather Losses, Report Says 
Business Interruption Claims Approach $1M Average, Says Allianz 
KCC Says Isaias Insured Losses to Be $3 Billion; AM Best Calls Storm an Earnings Event 
