News

Press releases and other news about Premia.

Premia hails ability to “quickly & quietly deliver” complex reinsurance transactions

By | News

Premia Holdings Ltd. Chief Executive Officer Bill O’Farrell has hailed the company’s ability to “quickly and quietly deliver” on complex reinsurance transactions, such as the loss development reinsurance agreement the company completed with AmTrust recently.

Premia Re was founded in January as a start-up Bermuda-based property & casualty insurance and reinsurance run-off group, with a $510 million initial capital raise and backing from Arch Capital and Kelso & Company.

Premia Re has clearly been working on the AmTrust transaction (which we covered last week here) for some time, given the scale of the deal, providing the insurer with a reinsurance agreement covering its first quarter 2017 and prior net reserves.

The terms of the deal see Premia Re assuming $625 million of net reserves, excess of approximately $5.96 billion, and also providing another $400 million of coverage in excess of AmTrust’s net carried reserves of around $6.59 billion as of March 31, 2017.Premia Holdings CEO Bill O’Farrell explained; “This significant transaction highlights our ability to quickly and quietly deliver tailored solutions to our clients for large and complex matters.

“We welcomed the opportunity to work with AmTrust on this important reinsurance agreement and look forward to a successful ongoing relationship with the Company.”

Run-off and legacy reinsurance deals take time to put into place and deals of this size can be particularly complex and time-consuming to complete. This is the first major deal announced by Premia Holdings and it will be interesting to see how quickly it can bring further transactions to fruition.

View this news release on Reinsurance News at: https://www.reinsurancene.ws/premia-hails-ability-quickly-quietly-deliver-complex-reinsurance-transactions/

Premia Holdings Ltd. Partners with AmTrust Financial Services, Inc. on Significant Reinsurance Agreement

By | News

Premia will provide adverse loss development coverage of up to $400 million in excess of carried net reserves as of March 31, 2017, plus assume an additional $625 million of carried net reserves

HAMILTON, Bermuda–(BUSINESS WIRE)–Premia Holdings Ltd. announced today that one of its wholly-owned subsidiaries, Premia Reinsurance Limited (“Premia Re”), has entered into an agreement to reinsure AmTrust Financial Services, Inc. (“AmTrust”) with respect to its first quarter 2017 and prior net reserves.

Premia Re will assume net reserves of $625 million in excess of approximately $5.96 billion in net reserves and provide $400 million of additional coverage in excess of AmTrust’s net carried reserves of approximately $6.59 billion as of March 31, 2017. Premia Re will post the reinsurance premium as collateral in trust and will provide additional collateral protections to AmTrust in connection with this transaction.

Commenting on the successful transaction, Premia Holdings Ltd. Chief Executive Officer William E. O’Farrell noted, “This significant transaction highlights our ability to quickly and quietly deliver tailored solutions to our clients for large and complex matters. We welcomed the opportunity to work with AmTrust on this important reinsurance agreement and look forward to a successful ongoing relationship with the Company.”

About Premia

Premia Holdings Ltd. is a Bermuda-based reinsurance group focused on reinsuring insurance and reinsurance portfolios and acquiring companies in runoff around the world. Premia currently has operations in Bermuda and the United States. Premia Holdings is majority owned by funds controlled by Kelso & Company and its co-investment partners. Arch Capital Group Ltd., through its subsidiaries, is a minority shareholder in Premia and a strategic reinsurance partner.

Cautionary Statement

The Private Securities Litigation Reform Act of 1995 provides a “safe harbor” for forward-looking statements. This release or any other written or oral statements made by or on behalf of Premia Holdings Ltd. and its subsidiaries may include forward-looking statements, which reflect our current views with respect to future events and financial performance. All statements other than statements of historical fact included in or incorporated by reference in this release are forward-looking statements.

Forward-looking statements can generally be identified by the use of forward-looking terminology such as “may,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe” or “continue” or their negative or variations or similar terminology. Forward-looking statements involve our current assessment of risks and uncertainties. Actual events and results may differ materially from those expressed or implied in these statements.

All subsequent written and oral forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by these cautionary statements. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

Contacts

Premia Holdings Ltd.
Scott Maries, 441-278-9176
Chief Financial Officer
smaries@premiareltd.com

View this news release on Business Wire at: https://www.businesswire.com/news/home/20170109006339/en/Premia-Raises-510-million-Initial-Capital-Leading

Premia Raises $510 million In Initial Capital From Leading Investors To Target Global Property & Casualty Runoff Opportunities

By | News

– Bill O’Farrell to Lead Company

– Kelso & Company and Arch Capital are Founding Investors

HAMILTON, Bermuda–(BUSINESS WIRE)–Premia Holdings Ltd. (“Premia” or “the Company”), a newly-formed property & casualty (“P&C”) insurance and reinsurance group focused on providing runoff solutions, announced today that it has completed a $510 million initial capital raise. The formation of Premia represents one of the largest capital raises ever focused on the P&C runoff market and immediately establishes Bermuda-based Premia as a significant market participant.

Premia was founded and will be led by reinsurance industry veteran Bill O’Farrell, who will serve as Chief Executive Officer. The founding investors include Kelso & Company (“Kelso”), a leading private equity firm, its co-investors and an affiliate of Arch Capital Group Ltd. (“Arch”), a leading insurance and reinsurance group. In addition to its equity investment, Arch will serve as a key strategic reinsurance partner, allowing Premia to compete on the largest global runoff transactions. The remainder of the capital comes from other institutional investors, the Premia management team and senior members of Arch.

“We are very excited to introduce a new, strongly capitalized reinsurance group focused on P&C runoff,” said O’Farrell. “I have been gratified by the number of inbound calls I have already received from companies, both large and small, and their advisors, seeking runoff solutions from Premia. This has only validated my strongly held position that the P&C runoff market is in need of a specialist solutions provider as clients seek to address the inefficient capital drag arising from their runoff operations, free up management time to focus on their core live business, and diversify their legacy exposures away from the concentrated handful of runoff companies that have shaped the market to date.”

Chris Collins, Managing Director of Kelso, noted, “We believe we are entering this market at the right time with the right management team and with a differentiating partner in Arch. We are confident Premia will be a leading participant in the runoff market.”

Marc Grandisson, President and COO of Arch, commented, “We are very pleased to help launch Premia. We believe that Premia, with its strong management team, will be well positioned to provide innovative solutions and structures not available in the P&C runoff market today.”

Premia will look to insure, reinsure or acquire runoff portfolios and companies around the globe. Premia’s multi-disciplinary team has broad and deep P&C experience, covering all lines of business and geographies. Premia will work with its clients to design efficient runoff solutions tailored to their needs.

Premia’s leadership team will also include Scott Maries as Chief Financial Officer and Joe Calandro as Executive Vice President, along with additional talented team members within its operating units.

Premia was advised by Clifford Chance US LLP and Conyers Dill & Pearman Limited. Kelso was advised by Debevoise & Plimpton LLP. Arch was advised by Cahill Gordon & Reindel LLP.

Additional information regarding Premia may be obtained by calling Bill O’Farrell on +1 267 312 1620 or Scott Maries on +1 441 705 8697.

About Kelso & Company

Kelso has been investing in private equity for over 35 years. Kelso benefits from a successful investment track record, a long-tenured and stable investing team, and a reputation as a preferred partner to management teams and corporates. Since 1980, Kelso has raised a total of nine private equity funds, representing approximately $12 billion of capital, and has made 120 investments. Kelso has significant experience investing in financial services, having deployed approximately $1.7 billion of equity capital in the sector over the past decade, including nearly $1.0 billion in insurance and reinsurance investments. For more information about Kelso, please visit the firm’s website at www.kelso.com.

About Arch Capital

Arch Capital Group Ltd., a Bermuda-based company with approximately $8.24 billion in capital at September 30, 2016, provides insurance, reinsurance and mortgage insurance on a worldwide basis through its wholly owned subsidiaries.

Cautionary Note Regarding Forward-Looking Statements

Certain information contained in this release constitutes “forward-looking statements,” which can be identified by the use of forward-looking terminology such as “will,” “believe” or other variations thereon or comparable terminology. Due to various risks and uncertainties, actual events or results or the actual performance of the Company may differ materially from those reflected or contemplated in such forward-looking statements. The Company undertakes no obligation to update any such forward-looking statements resulting from any change in facts or circumstances or new developments.

All references to “$” are to U.S. Dollars.

Contacts

Premia Holdings Ltd.
Bill O’Farrell, +1 267 312 1620
or
Scott Maries, +1 441 705 8697

View this news release on Business Wire at: http://www.businesswire.com/news/home/20170109006339/en/Premia-Raises-510-million-Initial-Capital-Leading