Brit renews and expands Versutus
Brit Insurance has announced the successful launch of its new Bermuda-domiciled collateralised reinsurance platform, Sussex Capital, with initial funding for 2018 coming to $102.5 million.
“In December we launched a new Bermuda-domiciled collateralised reinsurance platform, Sussex Capital, with initial funding of $102.5 million,” said Matthew Wilson, group chief executive officer of Brit. “From 2018, Sussex Capital will write direct collateralised reinsurance while also providing collateralised reinsurance to Brit's Syndicate 2987. Its launch strengthens Brit's reinsurance capability, provides access to a diversified source of capital and further enhances our client and broker proposition.”
The announcement came as Brit reported an after tax 2017 profit of $21.5 million, down 87.4 percent from the $157.6 million it made in 2016.
The company said that gross written premiums for the year came to $2.06 billion, a slight rise from the 2016 figure of $1.9 billion.
“2017 was dominated by the scale and multiplicity of natural catastrophes from hurricanes, earthquakes and wildfires, resulting in significant human and economic consequences in the regions affected,” said Wilson. “Our products have responded to these events, supporting numerous businesses and individuals to get back on their feet in these difficult times. Our focus has been on providing an outstanding claims service and we have been pro-active in ensuring our customers’ needs have been at the forefront of our actions. The net impact of these events on Brit was $250 million, or 16.2pps of our 112.4 percent combined ratio. This was in line with our expectations given the nature and scale of the events and our market share.”
Wilson concluded that while the outlook for 2018 is more positive with some encouraging signs of rate improvements in certain classes, the company remains in a fiercely competitive market environment. Notwithstanding, he said that he believes that with highly disciplined underwriting and Brit’s strategic focus on market leadership, innovation in product and process, and the broadening of local product distribution, it can look to the future with confidence.
Brit, Sussex, Capital, launch, reinsurance, results, profits, 2017