New US-based E&S carrier Spinnaker Specialty enters market

US-based property and casualty insurer  Spinnaker Insurance Company, which was acquired by insurtech  Hippo last year, has launched a new excess and surplus (E&S) lines carrier.

The newly-formed Spinnaker Specialty Insurance Company plans to write excess and surplus lines coverages sourced through programme administrators and managing general agents (MGAs). It will be headquartered in New Jersey.

The carrier has been assigned a financial strength rating of A- (Excellent) by AM Best. The outlook given is stable.

AM Best has assessed its balance sheet strength as "very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management."

The ratings assigned to Spinnaker Specialty reflect the existence of a 100 percent intercompany quota share reinsurance agreement with Spinnaker, it said.

Hippo, which is focused on the home insurance market, acquired Spinnaker in August 2020. SInce then, Spinnaker has been operating independently under the Hippo umbrella while maintaining its position as a programme and fronting company.

Did you get value from this story?  Sign up to our free daily newsletters and get stories like this sent straight to your inbox.