Specialist legacy acquirer, Compre has received approval for the formation of a new reinsurer which will target the US $750 billion legacy liability market.
The firm has received regulatory approval in principle from the Bermuda Monetary Authority (“BMA”) to establish a Class 3A reinsurer on the island.
Compre has built is business via the acquisition and management of discontinued and legacy non-life insurance and reinsurance business. It is predominantly a European business with operations in Finland, Germany, Malta, Switzerland and the UK. However, the scale and size of the US market has created the opportunity for the firm to look to Bermuda as the base of its latest operation.
The firm said it will work with the BMA to finalise the registration and licensing of the reinsurer in the coming weeks.
“The platform will greatly enhance Compre’s ability to access the vast potential for growth in North America and is consistent with the Group’s plans for strategic expansion into the US and Lloyd’s legacy markets,” it added in a statement.
Will Bridger, CEO, Compre (pic) said: “It gives me great pleasure to announce the formation of our Bermuda hub, which will significantly extend Compre’s long-established operations in our traditional European heartland. With around half of the estimated global legacy liabilities of US$750 billion residing in the US, our Bermuda operation will allow us to bring our legacy expertise and a highly credible and client-centric approach to the US run-off market.”