Fidelis in partnership with Germany's Wüstenrot Bausparkasse

Specialty re/insurer  Fidelis Insurance Ireland has provided business-to-business credit default insurance to Germany's Wüstenrot Bausparkasse AG to help strengthen its mortgage offering.

The move is designed to tackle the problems created by the rising cost of real estate and the discrepancy between property prices and determined mortgage lending values, which has an impact on risk management for banks and is particularly pronounced in Germany.

Simon Crone, chief underwriting officer at Fidelis Insurance Ireland, said: "A credit default insurance optimises both aspects and ultimately leads to a lower-risk product range.”

Anke Lämmerzahl and Thomas Ehrhardt, managing directors of REMCI Finance, which is brokering the partnership and will manage it on an ongoing basis, said: "Credit default insurance also expands the product range in mortgage financing and optimises the lenders' earnings opportunities.”

Stephan Müller, head of sales at Wüstenrot Bausparkasse, said: "We are very pleased to start the partnership cooperation with Fidelis Insurance and REMCI Finance and thus increase our sales power in mortgage financing.”

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