Casualty Reinsurance
Account commenced underwriting in March 2006. The aim is to compliment the existing North American Treaty operations with the ability to write Casualty Treaty Reinsurance throughout the rest of the world.
The portfolio shares many of the same clients and brokers as Property Treaty and Motor Excess of Loss. The portfolio will target the traditional Casualty classes such as Public & Products Liability, Employers Liability, Workers Compensation, Professional Indemnity, Directors and Officers and Financial Institutions. Casualty Reinsurance will also handle combined programmes where Motor is purchased in conjunction with other Casualty classes.
The business will be split three ways – (i) business emanating from developed jurisdictions such as UK, Western Europe, Australasia and Canada; (ii) clients from emerging markets; (iii) London Market business, where cedants are operating within the subscription market. The account is 100% broker derived, and written principally from the Trading Floor in London.
There will be an increasing reliance on Singapore, Sydney, Hong Kong and Toronto to source business that would otherwise not necessarily make it to London market brokers. The account is almost exclusively Excess of Loss, and protects only Non-US domiciled cedants.
Casualty Reinsurance only writes a treaty product – that is, the reinsurance of an entire insurance company’s liability portfolio. Catlin look to protect cedants who are best in class, and value their reinsurance relationships. Where clients write 100% of the original risk: Risk Exposed: £2.5m Including clash: £5m. Where clients are involved in a subscription market: Risk Exposed: £1.25m Including clash: £2.5m.
Since starting the casualty treaty portfolio in 1993 Catlin now ranks in the top five by premium volume and leads approximately 25% of the business written. The account is written on a treaty basis out of the Trading Floor and Lloyd’s through a dozen Lloyd’s brokers.