DARAG Bermuda completes novation for Cayman reinsurer

Legacy business re/insurer DARAG Group has completed a second novation agreement with a Cayman reinsurer through its subsidiary DARAG Bermuda.

According to the business, the agreement concerns the unnamed Cayman business’s US liability books and is the second novation for newer years. DARAG Bermuda will provide legal, economic and operational finality for the counterparty’s US workers’ compensation, general liability, auto liability and product liability business, it said.

“Our team has worked closely with our client to ensure that their strategic goals are achieved with this transaction,” said Daniel Linden, CEO of DARAG North America and Bermuda. “The completion of the deal provides the company with a clean economic exit and certainty about future development. We are very pleased to have been able to support such an established counterparty and demonstrate DARAG’s expertise as a favoured legacy acquirer for both counterparties and fronting carriers alike.

“Our established relationship has created an opportunity for repeated business with this reputable counterparty. We look to continue this relationship going forward and assist this Cayman reinsurer with their legacy needs into the future.”

Tom Booth, group CEO, said: “DARAG has completed a number of repeat transactions with counterparties since our recapitalisation three years ago. This is testament to our fair and competitive pricing, transparent and streamlined processes and emphasis on client partnerships pre and post-deal. I am delighted to be able to announce yet another completed transaction to end a very active Q4 for DARAG.”