Newly-formed insurance fronting company, Concert Group Holdings, Inc., has announced the establishment of an excess and surplus (E&S) lines carrier based in Montana, called Concert Specialty Insurance Company.
The new entity joins Concert Insurance Company, the group’s Illinois-based property & casualty (P&C) operations, as the two firms operating under the Concert umbrella.
Both the companies have received a Financial Strength Rating of A- (Excellent) and a Long-Term Issuer Credit Rating of “a-” (Excellent) from ratings agency AM Best, with a stable outlook.
The ratings reflect balance sheet strength, which is viewed as very strong, as well as the company’s adequate operating performance, limited business profile and appropriate enterprise risk management.
“On a projected basis, CSIC’s level of risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR), is assessed at the strongest level and is supportive of its planned growth initiatives and increased reinsurance utilization over the next several years,” says AM Best.
“As the management team has extensive relationships in the reinsurance and insurance-linked securities (ILS) markets, AM Best expects CSIC’s reinsurance panel to be well-balanced between the traditionally rated market and fully collateralized reinsurance market, as well as being highly diversified.”
Concert’s Chief Executive Officer (CEO), Jonathan Reiss, commented: “We formed Concert to provide a higher level of client focus and responsiveness to captive and program clients that have been underserved.
“With both an admitted and an E&S carrier, we now have the ability to write business on a broad basis, offering a full range of risk solutions to our clients.
“Concert Specialty nicely complements our admitted platform, Concert Insurance, and offers a targeted approach that supports the captive and program administrator marketplaces.
“Our experienced team can deliver creative, customized solutions to MGAs, program administrators, captive managers and reinsurance partners, helping them serve customers and clients with evolving, hard-to-place risks.”
In October, Concert announced that it had secured $100 million in growth capital and a rating of “A-” (Excellent) from A.M. Best.
