QOMPLX, an insurtech provider of intelligent decision platforms and operator of managing general agency’s (MGA), has launched US-based subsidiary MGA units named RubiQon Risk & Insurance Services and RubiQon Re, which will be led by sector veterans Conan Ward and Romel Salam.
Ward and Salam both worked together at reinsurance firm Validus Re in the past.
Ward was the Chief Executive Officer of Validus Re and also subsequently of Hamilton USA, the U.S. arm of insurance and reinsurance group Hamilton. Salam was the Chief Risk Officer of Validus Holdings and also Chief Actuary & CRO of Validus Re.
In launching RubiQon Risk and also what appears to be a reinsurance MGA offering named RubiQon Re, QOMPLX, Ward and Salam intend to target underwriting of cyber insurance, as well as multi-line treaty and facultative insurance and reinsurance offerings.
The aim is to leverage QOMPLX’s technology, making the most of its high-capacity data, modeling and analytic capabilities to better understand and price risk, while also matching it with the most effective capital as an MGA with a choice of capacity sources available to it.
The new MGA is slated for launch later this year in the fall, with an initial focus on the large cyber market to be followed by an aggressive multi-line expansion.
“The unique capabilities of QOMPLX’s decision platform, cybersecurity solutions and professional consulting presented an opportunity to build a world-class infrastructure that merges the best of today’s technological revolutions, cyber expertise and a deeply knowledgeable re/insurance team,” explained Conan Ward, GM and President, RubiQon Risk.
“We’re looking to bring strategic-level solutions and insight to bear for our risk partners, not just tactical product solutions. It is extremely difficult for carriers to innovate, add technology and big data infrastructure, and still keep their factory lights on. We are prepared to work hand-in-glove with a small number of key partners to create a more symbiotic relationship between carriers and RubiQon to broaden their capability map, distribution outlets and product offerings,” Ward said.
“Because the cyber threat is so pervasive and dynamic, we can’t think of another class of business that requires a more thoughtful approach to underwriting,” added Romel Salam, Principal and CRO for RubiQon Re. “We are excited about leveraging QOMPLX’s best in class technology platform and cybersecurity expertise to bring comprehensive and innovative risk management solutions to our clients and partners.”
With cyber coverage being broadly excluded as an add-on to traditional insurance and reinsurance products, as the market seeks to exclude its way out of the silent cyber problem, RubiQon sees an opportunity emerging in dedicated cyber insurance, which it sees as a “vastly superior product.”
We’re told that RubiQon will be capital agnostic, seeking to work with both traditional insurance and reinsurance carriers, as well as insurance-linked securities (ILS) funds or other alternative reinsurance capital providers where the risks can meet the return and duration targets of different capital sources.
As an MGA, RubiQon will have the flexibility to work with a wide-range of capital providers, which could make the new company extremely popular if it is able to originate increasing volumes of high-quality risks.
As an MGA, there is also the opportunity to tailor programs and risk pools to assist different capital providers in supporting the kind of risk duration that their capital returns seek.
With a technology and data first approach, it will be interesting to see whether QOMPLX and RubiQon together can entice ILS capital to get more deeply involved in cyber underwriting.