Sciemus MGA powers ahead
After a delayed entry to the power station insurance market, Sciemus had an active Q1 which saw it begin incepting risks through its managing general agency (MGA) on Inter Hannover paper.
The Sciemus Power MGA has now written upwards of 25 covers since the start of the year on behalf of the Hannover Re unit, including its first lead, The Insurance Insider understands.
Utilising the PowerRAT model developed with joint venture partner QinetiQ, Sciemus Power director of insurance Stuart Brazier - who joined from broker JLT last year - began underwriting with initial capacity of $50mn from Inter Hannover.
However, according to broking sources, the MGA is targeting larger line sizes as it looks to grow into a lead market, initially focusing on pre-45 day machinery breakdown property damage and business interruption insurance cover, but also the more competitive post-45 day cover.
It is also understood that Sciemus is close to completing a consortium of up to six reinsurers that will take a quota share of the MGA's business, with Aon Benfield as the placing broker.
Meanwhile, Sciemus has developed an exclusive relationship with a US provider of power station reliability data to complement the 300+ team of engineers and scientists at the UK military firm QinetiQ.
And Andre Finn-headed Sciemus has added to its ranks from within the power sector with the appointment of Tom Wilson, the former head of Viridian Power's Huntstown Power Company subsidiary.
As previously reported, Sciemus' entry into the power sector replicates its first foray into the insurance industry with its management of satellite insurance consortium LibSat.
Sciemus works closely with UK Ministry of Defence lab QinetiQ to develop models which it claims allow it to differentiate risks and provide cover rewarding "best of breed" insureds for good performance.
The firm is also thought to be in discussions with a number of private equity firms with a view to setting up a Bermudian Class 3 company to reinsure its MGAs.