Legacy acquirer Enstar Group Limited has completed its previously announced adverse development cover (ADC) reinsurance transaction with Bermuda domiciled re/insurer Aspen.
Under the terms of the transaction, one of Enstar’s wholly owned subsidiaries has assumed reinsurance losses incurred by Aspen on or prior to December 31, 2019.
The losses relate to a diversified mix of property, liability and specialty lines across the US, UK and Europe for a premium of $770 million.
Completion of the deal followed receipt of regulatory approvals and satisfaction of various other closing conditions.
Rating agency AM Best recently revised its outlook on Aspen to negative from stable, after the company reported losses in the three previous years.
