Brit strikes $380mn loss portfolio transfer deal with RiverStone
Brit has completed a loss portfolio transfer (LPT) agreement with RiverStone International, primarily for legacy years of account for select classes of business written by Syndicate 2987, for liabilities of around $380mn.
RiverStone Syndicate 3500 will indemnify Brit against any potential adverse development in respect of the net liabilities and assume all claims handling responsibility for the transferring business.
Both companies are subsidiaries of Fairfax Financial.
The deal builds on previous reinsurance agreements between the pair in 2014 and 2018.
Brit CFO Gavin Wilkinson said: “We are pleased to complete this LPT with RiverStone, which provides Brit with certainty of exit on discontinued lines and reduces exposure to US casualty claims inflation.
“We look forward to working with RiverStone over the next few months as we transition the claims management to their teams.”