INTX Insurance Software, which provides technology for insurers and reinsurers, is extending its relationship with Bermuda-based property and casualty runoff reinsurer Xitus Re Ltd, with the INTX (Re)Insurance Operating System continuing to support the company as it adds portfolios, transactions and operations across multiple jurisdictions.
A key component of the deployment is INTX Re, INTX Insurance Software’s assumed reinsurance platform. The system is being used by Xitus to administer and integrate runoff business within a connected operating environment, covering areas including treaty and facultative administration, premium and loss accounting, claims, capacity and financial operations.
According to INTX Insurance Software, the broader deployment is intended to provide Xitus with a consistent technology foundation as its business develops.
The platform brings together activities including policy administration, claims, financial operations, reinsurance, reporting and governance, allowing the company to manage different portfolios within the same operating environment.
The expansion comes as Xitus continues to pursue additional runoff transactions and broaden its geographical footprint. For a business focused on acquiring and managing legacy insurance portfolios, each new transaction can bring different contractual arrangements, claims records, financial requirements, legal entities and regulatory obligations.
INTX Insurance Software said its platform is designed to allow those requirements to be incorporated into the existing operating environment rather than requiring a separate technology setup for each new portfolio or transaction.
This approach is intended to give Xitus greater consistency as its portfolio develops, while providing access to connected data and processes across its operations. INTX Insurance Software said this can also support financial oversight, reporting and governance as the volume and complexity of the business increase.
Xitus recently completed a transaction with a major US insurance group involving a portfolio of US excess workers’ compensation contracts. The transaction forms part of the company’s wider strategy to expand its runoff business and enter additional jurisdictions.
As Xitus takes on further portfolios, the operational requirements associated with each transaction can vary. Claims histories, reinsurance arrangements, financial obligations, reporting requirements and legal structures may all need to be incorporated into the company’s existing processes.
Xitus originally selected INTX Insurance Software to provide an operating foundation for its global runoff, captive, Loss Portfolio Transfer and Insurance Business Transfer activities. The company has subsequently continued to expand its use of the INTX platform as it has added further business.
Jane Newton, Group CFO at Xitus, said: “We are delighted to have completed this transaction, providing an economic and operational exit solution. This is one of several transactions which we are looking to complete this year, as we look to expand our operations and footprint into new jurisdictions.”
INTX Insurance Software said the continued use of INTX Re is intended to support Xitus as it manages a growing range of assumed reinsurance business. The platform forms part of the wider INTX (Re)Insurance Operating System, which is designed to connect operational and financial functions within a single technology environment.
“Enterprise reinsurance software has to do more than support the business that exists on day one. It has to expand as the organisation itself becomes more complex,” added Rob Lewis, Chief Executive Officer of INTX. “Xitus is demonstrating exactly that. INTX Re can expand with them within the broader INTX operating environment. That ability to support increasing structural and organisational complexity within one environment is central to what we built the (Re)Insurance Operating System to do.”
The continued deployment also highlights an operational consideration for companies involved in the runoff market. While completing a portfolio transaction is an important step, the acquired business must subsequently be administered, accounted for and monitored over its remaining lifecycle.
For Xitus, the platform provides a foundation that can be extended as the company pursues further transactions and geographic growth. For INTX Insurance Software, the deployment demonstrates the intended role of the INTX (Re)Insurance Operating System and INTX Re in supporting insurers and reinsurers as their portfolios and operational structures become more complex.
