AXIS’ Ben Rubin to depart, triggering “fresh look” at third-party capital

AXIS Capital, the Bermuda-based globally-active insurance and reinsurance company, is to part ways with its current Global Head of Risk Funding Ben Rubin, who will leave the company for sector focused private equity investor Stone Point.

Rubin has worked at AXIS Capital for almost 8 years and as Global Head of Risk Funding managed the firms third-party reinsurance capital activities, including its direct partnerships with institutional investors, its co-mingled collateralized reinsurance sidecar structure and other similar initiatives, as well as managing the cost and effectiveness of risk transfer for the group.

Rubin had previously been in investment banking at Bank of America Merrill Lynch, where he first worked on insurance-linked securities (ILS) related initiatives, before joining AXIS in 2013.

Stone Point Capital is a long-term investor in the insurance and reinsurance sector, including a focus on investing in new hybrid business models that combined traditional reinsurance with third-party capital markets solutions.

As a result, Rubin’s expertise can be put to good use in his new home and will help Stone Point as it continues to expand its portfolio in re/insurance.

An AXIS Capital spokesperson told us that, “For more than seven years, Ben has been a valued leader within AXIS and has made significant contributions to the Company, including serving as a member of our Executive Committee and playing an instrumental role in building our Third Party Capital and Risk Funding platforms. We are deeply appreciative to Ben for all that he has done for our Company, and wish him the absolute best.”

The spokesperson continued to explain that, “We’re using this transition as an opportunity to take a fresh look at how we align the key pieces of Risk Funding to our business activities, with the aim to strengthen gross and net portfolio construction and grow our Third Party Capital business.”

Rubin will depart from AXIS Capital in March 2021, with a transition already underway, as well as an executive search for a new lead for the third-party reinsurance capital business at the company.

There is going to be a slight change in how third-party capital sits within the organisation going forwards.

It will remain a dedicated unit in its own right, but the rest of the Risk Funding business, ceded reinsurance and retrocession functions, are going to shift to sit under the Group Head of Underwriting Dan Draper.

As a result, Global Head of Ceded Re Anne Kelly and Head of Retro Mark Pomeroy will report to Draper.

Third Party Capital will become the standalone unit now, supporting both AXIS’ insurance and reinsurance businesses and reporting to to Steve Arora, AXIS Re CEO.

The spokesperson told us on the AXIS Third Party Capital operation, “We’re committed to growing this unit.”

AXIS Capital has been adjusting the way it manages third-party capital in recent years, shifting business away from its own vehicle to use a third-party transformer. But it continues to have somewhere around $1 billion of third-party investor capital under management in ILS funds, quota shares, reinsurance sidecars and other private ILS vehicles.