Aspen

Innovation emerged as the critical target for attracting new business to London.

Aspen's GWP increased 0.9% to $1.13bn, as it focuses on “robust cycle management”.

The Aspen exec highlighted the London market’s long-standing reputation for innovation.

The insurer paid tribute to the executive’s lasting contributions to the firm.

What’s next for the reinsurance market as Monte Carlo approaches?

The action follows Sompo’s $3.5bn all-cash acquisition of Aspen Insurance.

The Japanese carrier faces integration challenges to make a success of the deal.

Ratings agency said the Sompo deal could have positive financial and operational benefits for the Bermudian.

Group CEO Mikio Okumura cited “solutions that have not been fulfilled”.

Plus, the latest people moves and all the top news of the week.

Insight into the state of the insurance M&A market, powered by this publication's deal database.

Sources see Aspen as the right fit for Sompo, with Apollo getting a full cash exit.

The lawsuit has been filed as sales talks with Sompo yielded a deal.

The Japanese company announced the $3.5bn deal today, three months after the Bermudian completed its IPO.

The Japanese carrier has agreed to buy Aspen for a realization of $3.5bn.

The all-cash deal values the Bermudian’s stock at a 36% premium.

This publication first reported deal talks last week.

Plus, the latest people moves and all the top news of the week.

Aspen would give Sompo more reinsurance scale, more US premium and a Lloyd’s presence.

This publication revealed yesterday that the two were in detailed takeover talks.

Sources said that detailed discussions have taken place, with a clear path to a deal.

The newly created role consolidates leadership across UK entities.

Welch has been with the firm since 2023.

Last year, the firm obtained a Class 4 license in Bermuda.

Emilie Hungenberg joins the carrier from Aspen.

The executive replaces Mike Warwicker, who left the firm earlier this year.

The underwriter has held positions at The Hanover, Liberty Mutual and Zurich.

Plus, the latest people moves and all the top news of the week.

The company’s upsized public offering priced at $30 per ordinary share.

The IPO was announced at the end of April, targeting ~$2.6bn-$2.9bn.

The specialty carrier is braving volatile macroeconomic conditions in a second effort to list.

We assess the Bermudian’s standing amid waning investor sentiment and economic uncertainty.

The carrier is targeting an IPO valuation between $2.6bn and $2.9bn.

The carrier is offering shares priced at $29-$31.

The syndicate expects £5.8mn-£8.6mn in California wildfire claims.

Changes in business mix towards specialty and improved reserve development offset higher Q4 cat losses.

In October, this publication revealed that the carrier had resumed IPO preparations.

Cat losses in reinsurance rose 11.1% year over year to $45.1mn, driven by Hurricane Helene.

He joins from R&Q Insurance Holdings, where he has been chief accounting officer.

The business put up strong H1 numbers, and has named Christian Dunleavy group president.

Coalition Re to offer active cyber reinsurance via two products supported by Aspen-led capacity.

The reinsurance segment reported cat losses of $43.2mn versus $15.2mn in Q2 2023.

The new leadership structure is designed to create more accountable executive roles responsive to Aspen’s strategy.

The City grandee has experience on the Catlin, Convex and Miller boards.

The carrier will reassess the market in the fourth quarter, or early in 2025.

Aspen said reduced reinsurance appetite made it a good time to seek alternative capacity.

The group-level CoR worsened 4.7-points in the quarter, coming in at 89.4%.

Karlsson was previously head of credit and structured risks.

The deal adds to Aspen’s existing support of the InsurTech in the UK and Canada.

Dan Osman will take over as active underwriter for Syndicate 4711.

Putting together two “show me” stories risks investor skepticism.

It was announced earlier today that former Aspen UK CEO Richard Milner was set to join Chaucer as group CEO.

The company also confirmed earlier reports from this publication that Goldman Sachs would be a leading bookrunner, along with Citigroup, Jefferies and Apollo Global Securities for its ~$4bn H1 2024 IPO in New York.

The announcement comes almost two months after this publication revealed that the carrier had lined up Goldman Sachs, Citibank and Jefferies to run its $4bn H1 IPO in New York.

The follow-only algorithmic syndicate has stamp capacity of $925mn for next year.

CEO Mark Cloutier attributed the performance to increased investment income, driven by a higher rate environment, as well as increased fee income from Aspen Capital Markets, which “enhanced” the quality of earnings.

Ratings could be lowered by one notch depending on regulatory restrictions on cash flow from Bermuda operating entities to non-operating holding companies, the ratings agency said.

Edward Hart joined Aspen in February and has previously held roles at Brit and Barbican.

Tim Mardon will become CUO at Aspen Bermuda Limited and a member of Aspen Re’s leadership team.

Ki announced a new multi-year partnership with Aspen and Travelers this morning.

The company said Ki is the first algorithmic underwriter to offer capacity from multiple syndicates.

Bianconi joined Aspen in 2016 and has held a number of roles including, most recently, as head of US cyber.

The move to gear up for a listing follows a non-deal roadshow held over the summer.

Andrew Dyer joins from the Prudential Regulation Authority, where he has been head of the insurance supervision division for the past six years.

Insurance's GWP decline was driven by a couple of programs that were underperforming, while reinsurance's deceleration was driven by a deliberate slowdown in the mortgage book.

Net income increased to $219mn over the period, up from $48mn in the same period last year, while underwriting income increased by 33% to $208mn.

In her expanded role, she will work with trading partners to represent Aspen in the US for all business segments and build out existing distribution strategies.

The executive joins from Crum and Forster, with 20 years’ cyber experience.

John Welch left his role as CEO of domestic markets at Axa XL Re last year in a leadership reshuffle.

Trium cyber is the first monoline cyber vehicle to be approved by Lloyd’s, and began writing business in January.

Aspen’s global head of casualty and head of international reinsurance Beatrice Morley is set to relocate to London as of 1 August.

The company did not provide prior-year period figures as it usually discloses its results on a semiannual basis.

Mark Cloutier set out Aspen’s plans for top-line 2023 growth in the range of 10%, and a continued strategy of pursuing rate rather than exposure growth in property cat.

The Bermudian carrier reported GWP of just over $4.3bn in 2022, a 10% increase on the year prior.

The syndicate also reported an overall profit of £35.1mn for the year, up from a £34.3mn loss in 2021.

David Altmaier previously served as the commissioner of insurance for the state of Florida, leading the office of insurance regulation for more than six years.

The number of global, non-life run-off deals dropped to 48 over 2022, compared with 54 in 2021, according to a report from PwC.

The former Canopius CEO will chair the company’s nominations and governance committees.

Based in Bermuda, the executive will oversee the firm’s investments in technology and support its growth initiatives.

Nick Acker joins from Arch Insurance group, where he spent 10 years, most recently as a vice president in its wholesale and distribution management team.

The new carrier will be backed by Ariel Re owner Pelican Ventures and aims to write $50mn GWP in 2023.

The firm’s leadership said a pattern of strong results is needed before triggering an IPO process.

The carrier also reported GWP of just over $2.3bn for the first half of the year.

The carrier’s withdrawal from certain specialty lines comes as remediation feeds through into improved results.

The carrier’s former accountant KPMG will now have to respond to EY’s enquiries.

The carrier has also announced a brace of promotions in its first-party and specialty teams.

The existing $770mn adverse development cover between the two parties has been absorbed as part of the deal.

A substantial rise in the value of liabilities transacted during Q1 to $4.2bn was driven largely by Aspen’s $3.6bn LPT with Enstar.

The business performance is on track for an eventual flotation, but the date will depend on stock market conditions, the CEO said.

The reinsurance segment swung back to underwriting profits as its CoR declined 8.5 points to 93.6% and its LR improved 11.4 points to 63%.

The carrier strengthened reserves by $41mn due to uncertainty around financial and professional lines claims development.

Under the terms of the deal, Aspen will provide paper across multiple geographies with three programs in the US and four in Europe.

Project Leaf will see environmental, social and governance (ESG) information issues woven into Aspen’s decision making for its credit and political risk portfolio.

The deal is the largest in Enstar’s history and sets Aspen up either for a sale to a strategic buyer or a return to the public markets.

Ashley Bowell was found guilty of defrauding his former employer, and its insurer Aspen, after falsely claiming to have been injured at work.

The carrier said the move reinforces the importance of Lloyd’s as a platform.

In a raft of promotions, Andrew Rippert will become reinsurance CUO and Beatrice Morley head of international reinsurance.

The executive will join the business in early January, replacing Mike Cain.

The significant pre-emption is predominantly driven by the transfer of a reinsurance book from the carrier’s UK platform to Lloyd’s.

Kevin Chidwick, group CFO at Aspen Insurance Holdings, is to retire by year end and will be succeeded by Christopher Coleman.

“If we hit ’21, as I expect, based on most recent forecasts, and in ‘22 we get close to our plan, I think a possibility for this business would be a potential IPO in early ’23,” Cloutier told this publication on Tuesday.

The carrier has non-renewed around $800mn of business in the past 18 months.

Aspen said Mike Cain will still remain with the company through Q1 2022.

Aileen Mathieson, who will start on 15 November, will also join Aspen’s group executive committee.

Philip Hough leaves Singapore to focus on his role as global head of property, based in Zurich.

The industry veteran is credited with having built Arch’s well-respected mortgage credit business.

Plus the implications of the X-Press Pearl sinking and all the top news from this week.

The company is accused of “brazenly cheating” Andrew Kudera of his own money and of owed compensation, the lawsuit states.

The newcomer replaces Andrew Kudera, who was hired in January last year but has now left to pursue other opportunities.

The new logo and slogan follow a year of progress in the carrier’s turnaround plan.

She joins Axa XL executive Kelly Lyles and ex-Zurich Insurance exec Thomas Huerlimann.

Aspen’s outwards reinsurance team now also joins the carrier’s capital markets unit.

The ratings agency also affirms the carrier’s financial strength rating of A.

The executive says the carrier made strides last year in its underwriting and is well positioned for growth.

Catastrophe losses more than doubled to $360.8mn, which included $181.2mn of Covid-19 losses.

The appointment reflects a diversification push at the carrier.

Bermudian’s Lloyd’s platform to begin underwriting class by early 2021.

The move caps 18 months of turnaround efforts at the Bermuda reinsurer.

The former GL leader takes up a New York and Connecticut role.

The carrier showed improvement in the underlying profitability of the carrier as the turnaround continues.

The ratings agency has lowered the carrier’s rating by a notch because of capital adequacy concerns.

Theresa Froelich takes up the role following a restructure of senior leadership at the company.

Guy Carp, Aon and TigerRisk are among the intermediaries that have submitted bids.

The moves follow the exit of insurance CUO Cohen and two of his former Liberty colleagues.

David Cohen, Dan Vaughn and Tim Kania are understood to have left the company.

The deal, first announced in March, secures Aspen $770mn in cover for losses in excess of $3.8bn, as well as $250mn in excess $4.8bn.

The executive was believed to be in line to succeed CEO Mark Cloutier.

Peter Slot previously led global A&H at the Bermuda company, which exited the class earlier this year.

Small businesses from the hospitality sector sued the insurers in six states.

The proportion of loss-makers falls 4 points from 2018 but is three times as high as 2014.

The executive was head of casualty for North America and London for Axis Reinsurance. 

Change comes on the day the company’s Lloyd’s syndicate posted the worst result of all Lloyd’s syndicates.

The worst performing Lloyd’s syndicate suffered from adverse development on prior years for both classes in 2019.

Joint-third-ranked Cincinnati 318 and WRB Syndicate 1967 achieve significant underwriting turnarounds.

Sources said the retreat of Liberty and Aspen from the class has made placements challenging for brokers

The carrier has also appointed Kevin Chidwick as group CFO.

The withdrawal marks the latest in a series of restructuring measures at the carrier since its takeover by Apollo.

Aspen is the latest to pass the risk of unfavourable reserve development on to reinsurers.

Stephen Postlewhite will succeed the executive as managing director.

Market sources said the carrier was no longer accepting submissions across those classes of insurance.

Crystal Ottaviano was previously chief risk officer at Swiss Re America.

Richard Milner joins as senior managing director at Aspen Re International.

Andrew Kudera was previously group chief actuary at Validus.

Adam Casselman replaces Sam Whitnell, who is now construction director at Parker Norfolk.

The firm also appointed Natalie Waller as a non-executive director for both the UK company and the managing agency.

The executive will help lead a global team of almost 20 and also work with the carrier’s pre-incident services team.

The InsurTech also raised $37mn in a funding round led by Founders Fund.

Henry MacHale and Jamie Lewis become co-CUOs of the UK entity.

The executive will also become global product head for specialty reinsurance.

The move is likely to be interpreted as succession planning for current CEO Cloutier.

The Mark Cloutier-led carrier reported improvement in its underlying underwriting result.

Joshua Brekenfeld will report directly to Aspen chairman and CEO Mark Cloutier.

Meredith Head will join the reinsurer in September after more than 10 years at TMR.

UK SME MGA Aspen Risk Management Limited will go into run-off, and account for the lion’s share of 140 job losses.

The insurer has appointed two new underwriters and a credit analyst.

Probable maximum loss figures fall to the lowest levels in at least six years.

As activist investor Voce Capital Management becomes the carrier’s fourth-largest shareholder, this publication explores what incentive the investor has to push for a sale.

Amie Watson is due to join the firm from Liberty Specialty Markets in May.

Jonathan Price takes the role following a management restructure at the UK arm of the Belgian insurer.

Aspen CEO Chris O’Kane and chairman Glyn Jones have now stepped down with immediate effect.

Certa Insurance Services is thought to be the first tax insurance-focused MGA in the London market.

A Lloyd’s excess of loss policy will make up the remainder of the MGA’s $500mn line size.

The Bermudian (re)insurer reported a combined ratio of 132.8 percent for the cat-heavy fourth quarter.

The carrier has hired from HDI, Aspen, Allied World, MS Amlin and Munich Re.

The probe mirrors the investigation started by the UK’s FCA in 2017 which was taken over by the European Commission that same year.

Job losses and the merging of aviation teams helped maintain upwards pressure on rates.

ARML writes a book of UK regional P&C business and was bought by the carrier in 2010.

Expectations of rate rises and outsized catastrophe losses resulted in a subdued annual performance for the composite index.

The insider fills a space vacated by Cliff Hope, who is moving to Lexington.

Settle in for The Insurance Insider’s 12 days of Insurancemas.

Trapped collateral after recent catastrophes could buttress pricing, the analysts say.

PartnerRe will shut its DIFC branch, while Aspen Re has dropped fac business in the region.

Tom Allen joined Channel in June 2016 to launch the cyber division.

The Paris-based Helvetia subsidiary has acquired Aspen marine hull renewal rights and underwriters.

Other significant reductions in this publication’s running SBF approval tally include Aspen 4711, Markel 3000 and Hiscox 33.

Paul Lucas reports to Argo group chief actuary Bob Katzman.

The Bermuda (re)insurer publishes new detail on the valuation methodology after a shareholder alleges misleading information about the Apollo offer.

Market sources described a frenetic dynamic between underwriting leaders and followers in the verticalised market.

Active underwriter David Dale says the casualty syndicate has clearance from Lloyd’s to lift stamp capacity by 6 percent next year.

Harrell replaces Ed Beckwith at Syndicate 4711 as he adds to existing roles of head of international insurance and global head of marine.

Although estimates for the Q3 disasters vary, in aggregate the events are likely to generate insured losses north of $10bn.

Industry observers always eagerly seize on the full proxy documents relating to public company deals.

The company’s pending sale to Apollo could mean Wall Street estimates are somewhat stale, and make a “miss” less meaningful.

A quartet of companies were in the final running to acquire Aspen Insurance Holdings, with Apollo ultimately winning out.

Reinsurers now have fresh impetus to argue for flat renewals at 1 January.

Reith's Lloyd's business is set to bring former Aspen underwriter Martin Jackson on board to write the book.

The Aspen story is a microcosm of what has happened to the global wholesale, specialty and reinsurance world of the past pricing cycle.

O’Kane, who is to be replaced by Mark Cloutier, says the reinsurer's new owners have no plans to change other senior management.

The former Brit CEO will return to the Apollo stable on completion of the $2.6bn deal.

Tillett is the second senior underwriter from Axis’ original cyber team to leave the firm in recent weeks, after Neil Arklie joined Aviva.

The Bermuda reinsurance vehicle is set to co-invest alongside Catalina in major UK legacy deal with Zurich.

The Insider 50 contracted marginally last week as most companies in the index stagnated

Rory Kane has also been promoted to deputy principal officer.

The ratings agency maintains a negative outlook on the (re)insurer following its $2.6bn takeover agreement with Apollo.

S&P has affirmed the financial strength rating on the carrier’s core subs but is maintaining a negative outlook.

The popular BBC motoring programme Top Gear’s special editions see a trio of presenters embark to often inhospitable parts of the globe to complete audacious competitive challenges in budget cars.

Shareholders are likely to support the sale, and the possibility of a challenger bid seems remote.

The share price increased just over 2 percent in New York trading today following news of the $2.6bn deal.

The ceiling is just $10mn more than Aspen’s Q3 cat losses

The deal concludes a six-month auction process at the Chris O'Kane-led carrier.

All-cash offer values business at a double-digit premium to current share price

The Bermudian (re)insurer's shares jump 5 percent in early New York trading.

The target's board is pushing the financial investor to lift a bid worth over $40 per share.

Scott Kirk will receive the payout if he stays employed with the firm until 2020.

The intermediary noted that it was the third-highest sum for a second quarter.

The Insider 50 contracted by 1.0 percent last week, as 35 companies in the index posted negative share price movements.

Having taken the call to run a sale process as early as March, the Aspen board would clearly have expected the company’s future ownership to be resolved by this point.

The underwriter joins from Advent and replaces Richard Rudden, who recently left the business.

Aspen CEO Chris O’Kane is performing a balancing act – and it is impacting the shares.

The deals are the latest evidence of a shift in aviation market capacity.

Raheila Nazir joins after less than one year at Aspen.

The portfolio is understood to include a range of airline and hull deductible risks.

The CEO hinted at deal timeline on conference call where he gave relatively little else away.

This publication understands Aspen will either look to strike renewal rights deals on the aviation, marine hull and international professional indemnity books, or put them into run-off.

The seller’s board has also refused to grant exclusivity to the investment firm as hopes of a 1 August deal fade.

Senior underwriter Fergus Fergusson will take over following the departure of Donnacha Smyth to XL Catlin.

Aspen has lost more underwriters as members of its Bermuda FinPro team jump ship.

The market curtailed its projections as carriers failed to secure sought-after rate rises.

The Bermudian lost six underwriters and a claims specialist last week.

Ed Beckwith has held the role since August 2015.

Richard Rudden, Tom Gaughan and Hannah Sutton have resigned from the insurer.

MGM lawsuit against shooting victims asserts exemption under anti-terror act.

Gary O’Sullivan, Matt Gough and Keith Bryant resigned from Aspen last week, this publication can reveal.

While reinsurers are benefiting from low cats, pricing fundamentals remain weak.

There were positive share price changes over the quarter from only 13 companies in the index.

Argo and Blackstone have left the sale process in recent weeks, with Apollo the only known bidder.

The Chris O'Kane-led insurer aims to reach a deal by the time Aspen reports results on 1 August.

Final round bids are due on Friday in the thinly contested auction.