RenRe unveils casualty/specialty JV - Fontana Holdings
RenaissanceRe has announced the creation of Fontana Holdings, a joint venture dedicated to writing casualty and specialty risks. Fontana launched with $325 million in third-party capital from institutional investors and $150 million from the Bermudian reinsurer.
Fontana assumed a whole account quota share of RenRe’s global casualty and specialty book of business, including the credit portfolio, with the opportunity to raise additional capital and increase in scale over time.
“Fontana builds on our long legacy of innovation in matching desirable risk with owned and partner capital,” RenRe president and CEO Kevin O’Donnell said. “We are proud to invest alongside several highly respected institutional investors and believe that they will benefit from our deep expertise in underwriting casualty and specialty risks. We also believe that Fontana will enhance shareholder value by providing a steady source of fee income while enhancing our gross-to-net strategy.”
Christopher Parry, SVP and global head of RenRe Capital Partners, added: "As our first joint venture focused on casualty and specialty risk, Fontana extends the suite of insurance-linked securities and reinsurance strategies that we offer our third-party capital partners.”
RenRe provides property, casualty and specialty reinsurance and certain insurance solutions to customers, principally through intermediaries. Established in 1993, RenRe has offices in Bermuda, Australia, Ireland, Singapore, Switzerland, the UK and the US.
RenRe Capital Partners manages third-party capital relationships and joint ventures and funds.
Fontana is regulated by the Bermuda Monetary Authority and is expected to be consolidated into RenRe’s financial statements.