December 2016/3

Matt Fairfield's (re)insurance start-up Exin Partners has struck a deal to buyout AIG's interest in AIG Greece in a deal worth upwards of EUR100mn ($104mn), The Insurance Insider revealed on 20 December.

That Lloyd's has plumped for an EU-based subsidiary workaround for Brexit will come as little surprise to the market.

Lloyd's will establish a subsidiary in Europe should the UK government fail to secure passporting rights following Brexit.

Former Lancashire CEO Richard Brindle's total return carrier Fidelis has agreed a 5 percent private placement on the International Group (IG)'s general excess of loss (GXL) programme, The Insurance Insider can reveal.

Marine (re)insurers have been notified that the ground-up loss from last year's Alpine Eternity collision has risen to $275mn, The Insurance Insider revealed last week.

Rates on the reinsurance programme for the International Group (IG) of protection and indemnity clubs fell by around 7-9 percent for 2017 on a risk-adjusted basis, The Insurance Insider understands.

If successfully consummated, Fairfax Financial's $4.85bn deal to buy Allied World will create a combined company with shareholders' equity of $13.5bn and a book of (re)insurance business generating $12.5bn of gross written premium.

Allied World's founding chief executive Scott Carmilani is poised to receive a $79.6mn payout following the carrier's acquisition by Fairfax Financial.

The agreed sales of Allied World and Endurance in the space of two months has lent credence to the perception that the era of the publicly traded small-to-mid-sized Bermudian (re)insurer is drawing to a close, with the remainder likely to acquire, merge or sell to break through the $7bn market cap threshold.

Whether Fairfax Financial winds up adding Allied World to its expanding array of operating units may depend on how much more the acquisitive Canadian company is willing to spend.

The agreed sales of Allied World and Endurance in the space of two months has lent credence to the perception that the era of the publicly traded small-to-mid-sized Bermudian (re)insurer is drawing to a close, with the remainder likely to acquire, merge or sell to break through the $7bn market cap threshold.

Around this time last year there was talk in M&A circles of intense interest in the Florida homeowners' market as investors looked for liquidity through sales or IPOs.