New reinsurance start-up Conduit Re has underwritten $160 million of premiums at the January 2021 reinsurance renewals and placed its first catastrophe reinsurance program, the company explained this morning.
Conduit said that the portfolio underwritten consists of a targeted series of January attaching contracts, with a significant focus on quota share reinsurance business.
It believes the quota share focus in its portfolio will benefit it by providing a “balanced start” to its trading, while also “allowing us to access ground-up rate rises in the direct insurance market in our targeted classes.”
As we explained last week, quota shares enable reinsurance writers to access the rate momentum of the primary insurance market, which in some areas continues to be more sustained than we’re seeing in reinsurance at this time.
Conduit Re said that, within the renewal portfolio, pricing and terms and conditions were in line with management expectations.
With 12 trading relationships with reinsurance brokers now established, Conduit feels its entry to the market was welcomed by both brokers and carriers alike.
The company has also announced the successful placement of its own catastrophe reinsurance program, which it now intends to add to as the year progresses and its portfolio develops.
In addition, Conduit also revealed a new senior hire, as it brings Elaine Whelan, formerly of Lancashire, onboard as its CFO.
On top of this, Angus Hampton is set to join Conduit as Head of International Casualty, completing its senior underwriting team.
Neil Eckert, Executive Chairman, commented, “Conduit Re is off to a strong start and we are on track to deliver on the business plan we set out to our IPO investors in December. The hiring of Elaine is obviously a major step for the business and she brings enormous experience from her previous role at Lancashire where she was CFO for nine years. She replaces Mark Heintzman, who has done a very good job in helping take Conduit Re through all of the milestones in its start-up phase. We would like to extend our deepest thanks to Mark for his contribution.”
Trevor Carvey, CEO and Chief Underwriting Officer, added, “We are very pleased with our first renewal season’s trading which has met our expectations and we believe addresses any concerns that may have been raised over our ability to gain traction in the market in a responsible manner. We have been extremely well supported by brokers, clients and our reinsurers and we look forward to continuing to execute on our business plan through the rest of the year. In addition, I’m delighted to welcome Angus Hampton to Conduit Re to lead our International Casualty business which completes our senior underwriting team.”
Conduit believes that market conditions continue to show improvement and it hopes to benefit from this through 2021, across its targeted property, specialty and casualty lines of business.