Asta Managing Agency has been given approval in principle by Lloyd’s to establish syndicate 2357, which will be backed by Bermuda-based, Nephila Capital.
In terms of its strategic approach, the new syndicate intends to focus initially on catastrophe excess of loss reinsurance for companies unhappy with coverage provided by the traditional reinsurance market. Syndicate 2357 will write sophisticated versions of industry loss warranties, utilising a specially-tailored index determined both by the size of the insured loss and the geographical distribution of the cedant’s business.
Frank Majors, managing director of Nephila Capital will serve as the active underwriter. Asta has also brought on board Adam Beatty from Willis Capital Market and Advisor. The syndicate will commence operations with a capacity of $100 million.
Commenting on the move, Stephen Cane, CEO of Asta, said: “the backing from Nephila brings together the skills of the capital markets and converges them with the re/insurance markets to create new revenues backed by a sophisticated investor base.” Frank Majors added: “we recognize the benefits of operating within Lloyd’s and are excited to be bringing this new syndicate to the market in conjunction with Asta.”
Nephila, Lloyd's, alternative capital, reinsurance