Hannover Re, the global reinsurer, is establishing a Bermuda based insurance-linked securities (ILS) platform named Hannover Re Capital Partners, as it looks to round-out its offering to ILS investors and the market, while creating a new avenue to manage and deploy third-party capital to augment its business activities, we understand.
Artemis has learned that this new Bermuda based ILS platform will operate as an underwriting agent and akin to an ILS investment manager for Hannover Re, writing business backed by third-party capital from investors, while presumably also generating fee income for the firm.
Hannover Re is already very active in insurance-linked securities (ILS) of course, from its fronting of risk for catastrophe bond sponsors, to its fronting and transformation of reinsurance into collateralised investment opportunities for specialist ILS fund managers and investors.
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