Bermuda domiciled insurer and reinsurer, Aspen Insurance Holdings Limited, has entered into an adverse development cover (ADC) reinsurance arrangement with wholly owned subsidiaries of Enstar Group Limited.
Under the terms of this ADC reinsurance agreement, Enstar’s subsidiary will reinsure losses incurred on or prior to December 31st, 2019 on a diversified mix of property, liability, and specialty lines across the US, UK, and Europe for a premium of $770 million.
The transaction, which is expected to close in the first half of this year, sees Enstar provide $770 million of protection in excess of a $3.805 billion retention, and a further $250 million of cover in excess above $4.815 billion.
Completion of the ADC agreement remains subject to necessary regulatory approvals and the satisfaction of other closing conditions.
