Conifer Holdings, a specialty insurance holding company, has secured $20 million of adverse development cover for accident years 2019 and prior, after closing a Loss Portfolio Transfer (LPT) reinsurance agreement with Fleming Reinsurance Ltd.
Under the agreement, Fleming Re will cover an aggregate limit of $66.3 million of paid losses on $40.8 million of stated net reserves as of June 30, 2022, relating to accident years 2019 and prior.
Within the aggregate limit, there is a $5.5 million loss corridor in which the company retains losses in excess of $40.8 million.
“We are pleased to partner with Fleming Re on this reinsurance agreement, and we are eager to see our operating results bear out this efficient use of capital,” said Jim Petcoff, Executive Chairman & co-CEO of Conifer.
“This transaction is one of several strategic initiatives currently being implemented, to strengthen Conifer’s overall financial position and accelerate its long-term profitability goals.”
