22 January 2014ILS

Lancashire launches collateralised capacity through Kinesis

Kinesis Re has underwritten its first tranche of multi-class reinsurance agreements from January 1, extending collateralised combined aggregate limits in excess of $250 million to market.

The sidecar is part funded by Lancashire, which contributed 10 percent of its capital, with the rest delivered by investors wanting to access the market “on a regular and opportunistic basis”.

Commenting on the deal Richard Brindle, Lancashire's CEO, said: "The successful launch of Kinesis, as a multi-class, fully collateralised reinsurance provider, is an exciting development in Lancashire's third party capital management strategy.

“We have built an excellent team at KCM, led by Darren Redhead, which has strong underwriting skills and capabilities and this bodes well for future growth. Together, Lancashire, Kinesis and Cathedral constitute our three platforms to access different kinds of capital, all with high calibre, established underwriters.  This approach allows us to provide brokers and clients with insurance and reinsurance solutions for all types of risk transfer requirements."