Fidelis Partnership to launch Lloyd’s syndicate

Lloyd’s has granted the Fidelis Partnership in principle approval to launch a syndicate in collaboration with Fidelis Insurance and private capital provider Hampden Agencies.

The Fidelis Partnership, previously Fidelis MGU, will form Syndicate 3123 and aims to write $180 million in the second half of 2024 and $450 million in 2025.

The syndicate will underwrite across multiple insurance and reinsurance classes including contract frustration and political risk, credit, property catastrophe, political violence, marine, and aviation.

The Fidelis Partnership was spun off from Fidelis Insurance Group last year when the parent company was floated on the New York Stock Exchange.

Daniel O’Connell will be appointed as the Active Underwriter of Syndicate 3123. He is currently serving in the role of Head of Bespoke for The Fidelis Partnership.

The syndicate will be managed at formation with support from Asta, the leading third-party managing agent at Lloyd’s.

The company said the sponsorship of Syndicate 3123 by the Fidelis Partnership marks the return of its founder and chief executive officer, Richard Brindle, to the Lloyd’s market after 26 years.

Brindle said: “Our new syndicate will bring underwriting leadership, innovation, and flexibility. It will build on Lloyd’s position as the world’s leading insurance marketplace.

“Private capital remains highly relevant in insurance; we are therefore delighted to partner with Fidelis Insurance Group and also with Hampden Agencies, to bring this new capacity into the market.

“This allows us to access more business and write risks on behalf of a broader range of clients in more jurisdictions leveraging Lloyd’s global licences, recently-upgraded financial strength rating and capital structure. We are looking forward to embarking on this next step of our journey of innovation and collaboration, all while we continue to set new standards of excellence in the industry.”

Dan Burrows, CEO of Fidelis Insurance Group, said: “We are proud to support the launch of Syndicate 3123. Our underwriting strategy is designed to facilitate consistent access to the most attractive risks.

“Syndicate 3123 further advances our strategy by creating new opportunities based on Lloyd’s extensive licences and strong ratings.

“Together with The Fidelis Partnership, we look forward to continuing to redefine the specialty insurance landscape and create value for our shareholders by proactively managing and allocating capital and supporting profitable underwriting opportunities.”

John Neal, Lloyd’s CEO, said: “The Fidelis Partnership has built a solid reputation as a leading underwriting agency, and we’re excited to welcome Syndicate 3123 to the market.

“Lloyd’s is the perfect place for forward-thinking companies to come together and innovate to find solutions to some of the world’s most complex and challenging risks, and we’re delighted that The Fidelis Partnership will be joining us to solve these problems for our customers.”

Patrick Tiernan, Chief of Markets, Lloyd’s, said: “The Fidelis Partnership team brings a depth of underwriting leadership and supports our ambition of having the world’s best underwriters operating on the Lloyd’s platform. We see this opportunity as being accretive to the market, bringing in new and diverse sources of underwriting capability and capital. Richard and his team are warmly welcomed back into the Lloyd’s underwriting community.”

Alistair Wood, Hampden Agencies CEO, added: “Hampden Agencies is delighted to be involved in this new syndicate, which demonstrates the important role of private capital in the Lloyd’s market and our ability to access that capital with scale.”

Lorraine Harfitt, Asta Capital Limited (“Asta”) CEO, said: “We are delighted to support Richard and his team in securing in-principle approval for Syndicate 3123. By combining Asta's strengths as a managing agent with our collective commitment to innovation, our partnership aims to deliver leading underwriting solutions that address critical market challenges, including climate change.”

The Fidelis Partnership and Fidelis Insurance Group are being advised on the transaction by Asta and Willkie Farr & Gallagher (UK) LLP.