Lloyd’s gives ‘in principle’ approval for Oka syndicate-in-a-box 1922
Carbon credit insurance start-up Oka, managed by third-party managing agent Asta, has secured Lloyd’s ‘in principle’ approval to launch a syndicate-in-a-box (SIAB) targeting underwriting from January 2024.
Oka syndicate 1922 plans to launch an insurance solution specifically designed to protect against buyer-side carbon credit risks, including financial, reputational, regulatory, and climate risks. This will support the development of the voluntary carbon market (VCM) and facilitate investment, helping it achieve the growth rate required to scale the VCM to meet critical climate targets.
According to the company, the volume of carbon credit purchases has quadrupled over the past four years, with the market expected to grow exponentially as corporations make commitments to achieve net zero targets as a priority.
Chris Slater, Oka founder and chief executive officer, said: “With the market for carbon credits rapidly growing, our mission at Oka is to ensure every credit is insured. Entry to Lloyd’s provides us with access to the world’s leading insurance marketplace, enabling us to keep pace with this evolving sector and the market’s substantia licence network to solve a global problem. Our partnership with Asta has been invaluable, with their experience in guiding new Lloyd’s entrants, making the process seamless and swift. Through our syndicate, we want to help insure the world’s transition to net-zero.”
Lorraine Harfitt, chief executive officer of Asta, added: “It has been a pleasure working with the team at Oka, and we look forward to continuing to partner with them as they begin this exciting new stage. Oka has a diverse and experienced leadership team with a proven track record of building scale insurance businesses. Having identified a clear gap in the market, access to Lloyd’s will allow them to capitalise on this opportunity. Due to the ESG nature of the insurance offering, this product responds to environmental imperatives and supports the reputation of the Lloyd’s market on innovation.”
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