Lloyd’s insurer Novae Group and insurance-linked securities (ILS) fund manager Securis Investment Partners have launched a new special purpose syndicate.
The new syndicate, Syndicate 6129, has received Lloyd’s approval and will go live on 1 January 2016 with a stamp capacity of $75 million.
The syndicate is capitalised by funds from Securis and is focused on US property excess and surplus lines business.
The SPS will expand the portfolio of US facilities business through a combination of Novae’s existing income stream and through access to additional business by both parties.
Matthew Fosh, CEO of Novae Group, said: “This collaboration with Securis allows us to harness new capital in a variety of forms.”
“The structure of Syndicate 6129 enables us to broaden the scope of business we can write, bringing more business to the London market and demonstrating that we can offer new opportunities to innovative industry investors.”
Rob Procter, CEO of Securis, added: “This is an important development for Securis, which helps further build our Lloyd’s and specialty presence. SPS 6129 will allow us to support risks in the US primary business, as well as various in specialty lines risks.”
“This helps facilitate support from alternative capital in areas of the insurance market other than pure property catastrophe exposed programmes, where the impact of ILS has been felt most keenly to date. The principal beneficiaries will be our investors, who can now support our Lloyd’s and specialty activities either directly through our LCM Fund, or can participate via a number of our products which become better diversified and differentiated as a result.”
