Helios secures stop loss reinsurance cover
Helios Underwriting, which provides investors with a limited liability direct investment into the Lloyd's insurance market, has secured stop loss reinsurance cover for the 2014 year of account.
The company has entered a stop loss reinsurance agreement with Hampden Insurance PCC – Cell 7, a special purpose vehicle, which has reinsured the risk on a back-to-back basis with an international reinsurer.
Under the agreement, Helios will pay a premium of approximately £112,000 for stop loss cover of 10 percent in excess of 10 percent (i.e. the first 10 percent, and any excess over 20 percent, of any loss would be borne by Helios) in relation to a significant majority of the HUW group’s underwriting capacity.
Cell 7 is ultimately 51 percent owned by Nigel Hanbury, a director and 14.8 percent shareholder in the company, and 49 percent by Hampden Capital, an 11.9 percent shareholder in the company.
Nigel Hanbury, HUW’s chief executive, said: "I am pleased that Helios has been able to take advantage of the competitive rating environment to secure protection at favourable terms which will allow us to use our capital most efficiently."
