Lloyd’s of London insurer and Argo Group subsidiary ArgoGlobal has partnered with Tierra Underwriting Limited (Tierra) to provide insurance in support of green project finance transactions.
ArgoGlobal will provide $25 million in underwriting capacity to support the MGA, which Tierra will use to support transactions that have carbon abatement at their core, or otherwise provide environmental benefits to society.
Tierra will work with leading green capital providers to offer a risk transfer mechanism to help promote the growth of financing in this essential sector.
The partnership strengthens Argo Group’s commitment to developing new solutions and promoting existing products and services that support the United Nations Sustainable Development Goals.
Andrew Beechey, managing director at Tierra Underwriting Limited said: “Renewable energy has become more efficient and cheaper in the past decade, as the global energy mix adjusts to a more sustainable future.
“Insurance and finance have a key role to play in supporting this energy transition and helping drive the world towards a greener, healthier planet. Our partnership with ArgoGlobal allows us to be part of this solution and we look forward to announcing further exciting details in the near future.”
Jeremy Shallow, Head of Specialty at ArgoGlobal, said: “We are excited to be embarking on this partnership with Tierra Underwriting Limited at such a vital time in our market’s history.
“The interest from our clients in the green finance sector is growing rapidly, and we want to be at the forefront of this transition. We are keen to both support positive change globally and to take advantage of the commercial opportunity this represents.
“The company aims to integrate ESG considerations into its underwriting process and partner with those who share our belief in meeting the needs of the present without compromising the future.”
