The operating subsidiaries of insurer and reinsurer Convex Group Limited have received approval from the National Association of Insurance Commissioners (NAIC) and the California Department of Insurance to operate as a reciprocal jurisdiction reinsurer.
By obtaining reciprocal jurisdiction status, both Convex Insurance UK Limited (CIL) and Convex Reinsurance Limited (CRL) are able to write reinsurance business in the U.S. without the need to post reinsurance collateral, via a passporting arrangement with other U.S states.
Effective January 1st, 2022, CIL and CRL are the first two firms in the global re/insurance market to receive reciprocal jurisdiction reinsurer status by California and the NAIC.
Co-Founder and Deputy Chief Executive Officer (CEO) of Convex Group, Paul Brand, commented: “This is an excellent development for Convex. Since our launch in 2019, we have always been interested in expanding our platform to reach other major markets outside of the UK and Bermuda.
“I look forward to watching our teams at CIL and CRL provide top-quality complex risk solutions to our extensive network of reinsurance clients and brokers in the US.”
The receipt of reciprocal jurisdiction status follows the authorisation of its new Luxembourg-based European insurance entity, Convex Europe SA, in September.