Hamilton Insurance Group, the holding company for the newly established Bermudian reinsurer Hamilton Re, which was formed after it acquired hedge fund backed SAC Re, has named ex-Citigroup chief Sanford I. “Sandy” Weill as Chairman of its Board.
Hamilton Re, a a Bermuda-based Class 4 property and casualty reinsurer which launched recently after it acquired the Steven A. Cohen and SAC Capital owned SAC Re, is building a team to position itself as a leading reinsurance company.
Reinsurance veteran Brian Duperreault led a group of investors in the acquisition of SAC RE and the new firm, Hamilton Re, will follow a hedge fund reinsurer type strategy with its premium and assets being invested by data-driven asset manager Two Sigma Investments.
“Sandy Weill is an icon in the financial services sector, someone who has been at the forefront of change throughout his career,” commented Hamilton President and Chief Executive Officer Brian Duperreault on the appointment. “Under his leadership, and with our forward-thinking management team, I have no doubt that our goal of establishing a leading insurance and reinsurance business will be realized. It’s an honor to serve with Sandy.”
“I think it is rare to have an opportunity to be involved with people who have an exemplary record in what is necessary to run a successful insurance company,” said Mr. Weill. “Brian Duperreault has run businesses very successfully in all parts of the insurance industry from Marsh & McLennan, to the ACE Group in Bermuda, as well as his long stint at AIG. Brian’s teaming up with Two Sigma marries insurance expertise with an outstanding record of investment expertise, a combination that I believe will work well together, and I look forward to working with the Board on the opportunities and challenges that lie ahead.”
The Insurance Insider reported earlier this week that ex-Validus Re CEO Conan Ward would be joining Hamilton Re to head up its U.S. insurance business. With the addition of Weill, Hamilton Re adds an exec with years of corporate finance expertise, particularly in the area of acquisitions.
Hamilton Re promises to be different, leveraging analytics and research to create value for its investors on both sides of the balance sheet, in its underwriting and the investment strategy managed by Two Sigma. It’s going to be an interesting firm to watch, particularly with reinsurers facing declining prices and increased competition from alternative reinsurance capital.
If Hamilton Re decides it wants to grow, it may be entering the reinsurance market at a time when mergers or acquisitions begin to look like very attractive options for some of its incumbent competitors.