Bermuda Grants License to Advent Re

London’s Advent Capital Holdings announced that its subsidiary, Advent Re, “has received its class 3 reinsurer license from the Bermuda Monetary Authority, effective 27 December 2006.” The Company’s initial capitalization is approximately $37.5 million.

“Initially, Advent Re intends to take advantage of attractive market conditions to underwrite a limited number of retrocessional contracts, a segment of the reinsurance market in which the Advent Group has participated as a leading underwriter for over 30 years,” the bulletin noted.

“Advent Re will have access to business through the Advent Group’s longstanding relationships with clients and brokers and an experienced underwriting team in Brian Caudle, Chairman and Duncan Lummis, Chief Underwriting Officer.” The establishment of Advent Re “completes the Company’s plan to establish a new Bermudan reinsurance platform, as announced on 7 December 2006,” the announcement noted.

Caudle commented: “I am delighted that we have established Advent Re at such an opportune time. I look forward to leading its development as our second reinsurance platform whilst continuing oversight of our Lloyd’s operations and the broader strategic goals of the Group.”

Advent Capital (Holdings) PLC is a Lloyd’s insurer that manages and participates on Syndicate 780 and for 2007. It will now also be able to write business through Advent Re in Bermuda. Advent’s business is predominantly short tail property reinsurance and insurance, specializing in catastrophe coverage. Canada’s Fairfax Financial Group has a 44.46 percent stake in the Company.

Topics Reinsurance