Lloyd’s carrier Brit has launched a new multi-arrangement insurance special purpose vehicle (MISPV) in the UK for writing collateralised reinsurance.
According to Brit, Sussex Capital UK is the first transformer vehicle to be given permission by the Prudential Regulation Authority under the UK’s new insurance-linked securities (ILS) regime to carry on the activities of a MISPV, writing general collateralised reinsurance for multiple cedents via Brit’s distribution network in the London market.
Sussex Capital UK will initially focus on property catastrophe coverage, with capacity provided by Sussex Capital, Brit’s Bermuda-domiciled ILS fund platform, which it launched in December 2017 and writes direct collateralised reinsurance for third-parties while also providing collateralised reinsurance to Brit’s reinsurance portfolio and Lloyd’s syndicate.
Brit CEO Matthew Wilson commented: “I am both excited and proud to announce the launch of Sussex Capital UK, a landmark development in the emerging ILS market here in the UK.
“Sussex Capital UK further enhances Brit’s client and broker proposition and positions Brit extremely well to support growth in the UK’s ILS market as demand evolves over time.”
Mark Allan, Brit CFO, added: “Sussex Capital UK extends Brit’s ILS capability into the UK, further enhancing optionality and access to property catastrophe risk for our investors over the long term.
“We are excited to be at the forefront in supporting the London market’s ILS ambitions and would like to thank the UK regulators for their commitment and responsiveness through the application process.”