New aviation reinsurer with Ardonagh’s Piiq & Starr backing enters market
Global alternative investment manager Castlelake has established a new reinsurance company designed to provide insurance financing solutions to buyers and owners of commercial aircraft assets.
The solutions offered by the new Bermuda-licensed reinsurer, Itasca Re, aims to enable competitive financing rates for aircraft asset buyers by transferring the non-payment risk traditionally held by financiers to third parties through an insurance policy.
The policies will be issued by Starr Insurance Companies and reinsured by Itasca Re and other potential third-party reinsurers pursuant to a dedicated reinsurance agreement.
The new reinsurer will be led by Kostya Zolotusky, an aviation industry veteran, who most recently led the Integrated Finance Linked Insurance (IFLI) division of Piiq Risk Partners, an insurance broker focused on the aviation sector and part of The Ardonagh Group. Piiq will provide exclusive brokerage services to Starr and Itasca Re.
Itasca Re is expected to offer a broad spectrum of insurance-backed risk solutions in the aviation finance sector, including servicing airlines and operating lessors seeking to purchase or refinance new or vintage aircraft assets as well as financiers seeking alternative syndication or de-risking options for their loan portfolios.
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