Legacy acquirer DARAG, has announced that its North American division has closed a loss portfolio transfer transaction with Hallmark Financial Services within its newly established cornerstone North American insurer, DARAG Bermuda.
DARAG Bermuda Ltd. and DARAG Insurance (Guernsey) Limited recently entered into the deal with American Hallmark Insurance Company of Texas, Hallmark Specialty Insurance Company, Hallmark Insurance Company, Hallmark County Mutual Insurance Company and Hallmark National Insurance Company.
Under the terms of the deal, the Hallmark insurers will cede all existing and future claims on the binding primary commercial automobile liability insurance policies and the brokerage primary commercial automobile liability insurance policies up to an aggregate limit of $240.0 million.
DARAG has also announced the acquisition, subject to BMA approval, of a Bermuda class 3A reinsurance company.
Since the launch of DARAG’s Bermuda operations and its North American deals team, the team has completed seven transactions, with assumed subject reserves in excess of $400 million.
The transactions include loss portfolio transfers, novations and acquisitions, with counterparties ranging from multinational and US insurers to corporations and captives.
“DARAG North America is marking one year as a consolidated operation, and our profitable and rapid growth is a great testament to the team’s determination,” said Daniel Linden, CEO of DARAG North America, DARAG’s Bermuda and US arm.
“Current market conditions present significant opportunities for legacy providers, not least in North America. Our local team has been consistently and systematically growing since its consolidation in August 2019.”
