Launched in 2015 with only $75 million in funds, Brit’s Bermuda-domiciled special purpose vehicle Versutus has been renewed with invested capital of $187 million (around £133 million).
The reinsurance sidecar’s expansion brings Brit’s total managed capacity across Versutus, Sussex Capital, and Syndicate 2988 to more than $400 million. Sussex Capital was launched on January 01 while 2017’s Syndicate 2988 has also grown.
“The renewal and expansion of the Versutus sidecar, alongside the growth of Syndicate 2988 for 2018, continues our successful strategy of managing capital for third parties by offering access to Brit’s leading underwriting capabilities, deep client relationships, and extensive distribution network,” said Brit chief executive Matthew Wilson. “In addition, the launch of Sussex Re has also provided an important new product offering to our property catastrophe segment.”
Open-ended fund Sussex Capital writes through Sussex Re and provides direct collateralised reinsurance as well as collateralised reinsurance to Brit’s reinsurance portfolio. Versutus, on the other hand, has two sub series – for worldwide property catastrophe reinsurance business and North American property binders.
Meanwhile Syndicate 2988 now has a stamp capacity of £98.5 million (approximately $138 million), offering broader access to Brit’s underwriting capabilities with over 20 lines of business for 2018.
Brit chief financial officer Mark Allan said creating vehicles that attract a variety of capital providers ensures the firm can offer what he described as “the most appropriate capacity” for clients and their risk management needs.
“Taken together, these initiatives represent excellent progress as we continue to develop and enhance our capital markets participation,” added Wilson.