HSCM launches new special purpose insurer Bumblebee in Bermuda

Re/insurer Hudson Structured Capital Management (HSCM Bermuda) has formed a new special purpose insurer Bumblebee Re, headquartered in Bermuda.

HSCM has received approval from the Bermuda Monetary Authority (BMA) to register Bumblebee as conducting ‘unrestricted special purpose business’, pursuant to Section 4 of the Insurance Act 1978.

The company said that Bumblebee has been formed with the goal to bring collateralised reinsurance cell-formation business in-house.

Edouard von Herberstein, partner and chief underwriting officer – HSCM Bermuda, will serve as chief executive officer of Bumblebee. Michael Millette, managing partner of HSCM Bermuda, will serve on the board of directors of Bumblebee and advise the entity on business development.

“Over the past four years, HSCM Bermuda has transformed over 90 reinsurance contracts across all lines of business into investable securities,” said von Herberstein. “We believe Bumblebee will be a catalyst for us as we continue to improve processes internally and elevate our level of service to our investors and cedants alike.”

Millette added: “We are excited to launch this new platform under Edouard’s leadership, and are confident that it will facilitate crisp and efficient execution of our collateralized reinsurance activities.”