InsurTech

Deals would need to be sized at $50mn plus for transfer to capital markets.

The lawsuit is the latest development in the multi-billion dollar reinsurance scandal.

The company plans to launch in New York and New Jersey next year.

The company said the reduction was due to years of steady improvements.

The man is alleged to have conspired with others to falsify LOCs and collateral letters.

A Q3 listing remains a possibility, but the timeline can change rapidly amid storm season.

Sources said that while a late June-early July IPO is still on the table, a Q4 or early 2025 listing is expected.

The program includes all perils coverage and third-event protection.

The conflict between US and Bermuda legal systems offers no easy route for counterparties to fraud-impacted transactions.

The investment comes in exchange for a $49mn surplus note from HOA and the acquisition of HOA’s rights to potential claims stemming from the Vesttoo fraud.

The motion was filed by Chaucer Insurance Company and Chaucer Syndicates, as managing agent of Lloyd’s Syndicate 1084.

The “convenience claims” route to payout will be limited to claims up to $200,000.

Under the agreement, reached late on Monday, Vesttoo would sell its assets in a transaction that would close by December 1, 2023.

Layr claims its platform can help brokers serve up to 6x more small business clients.

In a motion filed Friday, the trustee requested to convert Vesttoo’s Chapter 11 case to Chapter 7 so that “an independent fiduciary can wind down the debtor’s affairs and avoid significant administrative costs”.

Doing so would save “at least $8.5mn in cash” based on the firm’s monthly operational expenditures, according to a recent motion.

The company said Ki is the first algorithmic underwriter to offer capacity from multiple syndicates.

Farmers’ agents in Florida will be offered an appointment with Slide. Renewals issued by Slide will begin for February 2024 effective dates.

A Delaware judge has ruled in favour of Vesttoo’s automatic stay in the bankruptcy case.

Ola Jacob's role at Descartes will focus on expanding the firm's parametric insurance offering in the London market to corporates exposed to climate risks across the globe.

The additional funding brings Kin’s series D total to $142mn, and its overall equity funding total to $265mn.

The company also said that it has secured the replacement of all reinsurance on its ongoing portfolio of business through third-party reinsurers and an affiliated reinsurer.

The Aon unit noted 37 LOCs “purportedly procured by China Construction Bank (CCB), Banco Santander and Standard Chartered Bank US”.

The company's Ebitda for 2022 was estimated at $60mn compared to $20mn in 2021.

Both organizations have agreed for the appointment of a liquidator for Vesttoo transaction structures at the Supreme Court of Bermuda.

Sources added that the company will continue to monitor portfolio performance to reopen business on a state-by-state basis.

Issues with faked letters of credit are not limited to one banking provider, sources said.

The broker said it believes it has meritorious defenses and intends to vigorously fight the claims and seek recourse against third parties where appropriate.

The firm said it will use the results of an analysis being conducted by experienced investigators to "take appropriate measures”.

The company’s targeted Vescor cat bond would have provided collateral to meet auto and other obligations, but there were multiple structural points of risk for investors.

The fronting company said impairment to Vesttoo’s LoC collateral will be "immaterial".

Fronting companies typically hold premiums in reserve meaning that credit exposure to letters of credit on Vesttoo transactions should only be required in the event of deteriorating losses.

The firm said it had identified two specific transactions in which “collateral inconsistencies” were in question.

E&S specialty MGA Velocity is launching an E&S carrier after receiving an AM Best rating of A- (Excellent).

The programme was "oversubscribed on all dimensions”, the company said.

The platform will connect MGAs with capacity from a wide range of providers.

The reinsurance tower protects the company to the 185-year return period, reduces retention to $5mn, includes all perils coverage, multi-year and third event protection.

Guy Carpenter was the sole placing broker sourcing capacity for the tie-up.

The business will have insurance management and reinsurance transformer subsidiaries.

It is understood that the company has mandated Nomura to raise the risk capital.

New brand H2’s first product is a policy management system that lets investors have access to their collateral accounts and other analytic data.

Around $100mn of the facility was funded at close, with the remaining funds available in two tranches as the company reaches certain agreed-upon milestones.

The homeowners’ InsurTech reported that it has received approximately 6,800 claims associated with Hurricane Ian to date.

Ferian Re will be capitalized by an investor group led by BDT Capital Partners

Julia Henderson served for nine months on Vesttoo’s board before taking up her new role.

The firm said a new CUO hire is pending.

Through a quota share deal, FlyWheel will enable investors to support Accelerant’s portfolio of low-limit, low volatility commercial SME primary risks.

The company ceded 75% of gross premiums in 2020.

Branch reported 1300% growth YoY in annualized written premium and a 400% increase in employee growth in the last year.

The Bermuda-based InsurTech will deploy a combination of its own and rated paper capital.

The cover offers protection for a one-in-160-year first event.

The firm has developed a capability to hedge commodity price risk and was originally backed by Ascot Underwriting.

Hestia Re covers named storms in Florida on an indemnity, per-occurrence basis. It attaches at $125mn.

The Hestia Re bond covers named storms in Florida and was targeting $150mn-$200mn.

She will remain based in Bermuda as head of risk capital strategy.

InsurTech Buckle has expanded its offer across Maryland and Nevada.

The insurance investment fund’s Brandon Baron will join Layr’s board of directors.

As part of the deal, ICEYE will provide Fermat with near real-time flood data for large-scale events.

This is the InsurTech’s first sally into the cat bond market.

HCI is waiting for the right moment to maximize its chances in Florida.

Losses and loss adjusted expenses at the Florida-based firm rose to $63mn from $40mn in Q4 2020.

The company’s convertible notes now have $24mn outstanding.

Brian Kirwan, Douglas Min and Omar Ali have been appointed as general managers of Europe, Korea and the UAE, respectively.

Homeowners’ InsurTech Kin plans to expand staff, add products and move into new states with the new backing.

The move reflects the firm’s growing interest in risks beyond nat cat.

The company will use the funding to invest in new software hires and expansion in Hong Kong and Madrid.

The supply-chain InsurTech is also broadening the scope of its Lloyd’s syndicate.

The round was led by global technology giant Tencent and saw participation from SV Angel and Hawktail.

The fund will focus on later-stage investment in companies already known to Eos.

Reinsurers using the platform will now be able to receive their lines at the cedent’s chosen clearing price automatically.

The funding was led by Anthemis Group, Blue Bear Capital and QBE Ventures.

As a result of the deal, EY, through its wholly owned subsidiary Shackleton, becomes a minority shareholder in IncubEx.

K2 Parametric will offer policies that pay pre-agreed claim amounts based on local parameters of measurable events, such as hurricanes or earthquakes.

The firm has hired former head of specialty at Ariel Re, Amit Shah.

The new functionality supports online collaboration for optimal placements.

Trade body Insurance Europe has warned the Prudential Regulation Authority (PRA) that the temporary regime enabling EU reinsurers to trade in the UK will close before they know which of the Solvency II reforms will be taken forward.

ILS Capital Management has backed the launch of a new InsurTech incubator, Mltply, which will offer fronting and reinsurance capacity to start-ups as well as venture capital and infrastructure support.

The firm is also planning a windstorm version for Florida hurricanes.

HSCM expanded a debt line by $10mn in addition to supporting the fundraise.

The algorithm uses ultra-high-resolution aerial images and data that pinpoints, color-codes and displays properties by damage classification.

The investment is jointly funded by the Midlands Engine Investment Fund and Foresight Williams Technology.

More than 95% of global reinsurance capacity can now be accessed by placing business on the platform.

The InsurTech intends to use the new paper to accelerate the growth of its “next-generation” insurance offerings in the automotive fields.

The feature will allow insurers to explore in real time the most competitive prices for a variety of structures and perils.

The round was led by Telstra Ventures, with other funds involved including Hudson Structured Capital Management and ArcTern Ventures.

As part of expansion plans, Ki has also signed a stock purchase agreement to acquire an inactive insurance carrier that holds licenses in more than 40 states.

Existing investors including State Farm Ventures, Formation8 and Brewer Lane Ventures also participated.

Dimosthenis Tsaknias is to lead the InsurTech’s worldwide flood modelling.

The company said the funds raised would kick-start its effort to become a full-stack insurer.

The auction technology platform also said it has more than $100bn in new placement commitments.

The fundraise will allow the InsurTech distribution platform to double its staff and roll out new products.

ILS Capital has invested seed capital in start-up InsurTech provider Pouch, which provides auto coverage for small businesses.

The Floridian reported a higher loss ratio after making recent portfolio acquisitions but benefited from premium growth.

The Tremor CEO spoke to Inside P&C recently, offering an inside look at his company’s Panorama platform.

The start-up aims to place $1bn in capacity this year.

The ILS firm has previously invested with the company.

The $850mn assets advised by the firm are already largely deployed.

The new platform will give cedants “100x more data” and greater pre-trade insight, Tremor said.

The move follows the company hiring new InsurTech partner Adrian Jones last month.

Along with its reinsurance platform, the company plans to help brokers hold in-house auctions.

The deal follows an agreement the reinsurance broker reached in December to partner with auction platform Tremor Technologies.

Marine insurance and reinsurance are target business areas, the project partners said.

Abu Dhabi sovereign wealth-backed Mubadala becomes an Arbol investor.

The Bermuda Monetary Authority had granted the InsurTech start-up a “sandbox” licence in 2019.

The ex-Scor staffer will work to expand HSCM’s InsurTech business and serve as managing director.

The vehicle raised $240mn in an offering priced at $10 a share.

The deal is the latest in a slew of recent blank check listings this year.

The hire follows a $18.5mn fundraise that the firm planned to use to expand in the US and Asia.

Fellow founder Will Thorne will take over the leadership responsibilities and manage its second fund.

The pact is Tremor’s first integration with a global broker.

After launching as a flood underwriter, now more than 85% of TypTap’s book is homeowners’ business.

Founder Lee Van Slyke has taken over the top job, according to the InsurTech’s website.

The Heritage co-founder said InsurTechs need more insurance expertise and to focus on underwriting margin.

Kettle will operate as an MGA and “micro-reinsurer”, and sees itself as part of a new wave of InsurTechs.

The division brings together carriers and MGAs, while providing capital advisory, analysis and modelling support.

The climate-focused InsurTech has raised $4.2mn and signed up insurance backing from the ILS manager and Munich Re.

The former Aon Global and RFIB chair is the latest big name at the InsurTech.

HSCM has become a prolific InsurTech investor in recent years, backing Noblr, Risk Genius, States Title, CyberCube and Metromile.

The reinsurer will disband its life capital unit, making digital platform iptiQ standalone, as the unit's chief moves to the CUO role.

While many brokers are embracing clearing platforms, some firms feel threatened by the technology.

The InsurTech filed for an IPO yesterday.

The fronting carrier will allow the MGA to extend its geographical reach.

The Bermudian ILS fund was one of the supporting investors in a $123mn fundraise.

The Italian insurer will target buyers in the agriculture and food sectors, among others, through the parametric partnership.

The marketplace said $87mn in capacity was offered in the past week's auction.

The transactions included complex catatastrophe XOL treaties.

The ILS manager has no current plans to deploy investor capital in cyber underwriting risks.

Overall reinsurance capacity is becoming harder to source for InsurTechs.

Tech start-ups are finding it harder to source reinsurance support, a conference heard.

Hudson Structured founder Michael Millette joins the board of directors after his company led the InsurTech’s latest funding round.

Aon’s Dominic Christian says a 35 percent cost base for the (re)insurance industry is not sustainable.

The technology is mature enough to deliver on its promises, according to the B3i CEO.

Munich Re now has a stake of about 27.5 percent in Next Insurance.

Bold Penguin has raised $32mn from a series B funding round.

Markel co-CEO Richard Whitt told an audience in Las Vegas that the launch of Lodgepine coincided with a need for capacity in the retro market.

Archipelago was launched last September with the aim of improving the way data moves through the insurance sector.

The investment will be ploughed back into the reinsurance marketplace to enhance quoting and management capabilities.

The former Tokio Millennium Re CEO said he believed the timing was right for an electronic marketplace in reinsurance.

This cohort will spend 10 weeks working on technological solutions designed to improve the efficiency of the market.

CEO John Carolin described the introduction of the system as a “pivotal moment” for B3i.

The investment comes as Hudson Structured surpassed $2bn of assets under management.

The InsurTech uses satellite imagery to provide underwriters with data on individual properties.

The trio of companies have all given their support to the auto start-up, with Third Point Re also providing reinsurance.

The former Tokio Millennium Re executive will help encourage uptake of the firm’s trial launch.