Bermuda-based carrier, Mereo Insurance Limited (Mereo), has started underwriting the first Excess Casualty Energy policies under a renewal rights transaction between Everen and Cedar Trace, the insurance, reinsurance, and asset management group that is strategically aligned with Mereo.
This follows the previously reported acquisition of Everen Specialty Ltd.’s (ESL) excess casualty energy portfolio renewal rights, and the simultaneous expansion of Mereo’s operations in the excess casualty insurance space.
As per the terms of the transaction, ESL’s underwriting team and underwriting systems supporting the portfolio will also transition to Cedar Trace, providing continuity of coverage and systems as well as a team well known to the existing policyholders.
Additionally, ESL’s underwriting team and underwriting systems handling the excess casualty energy portfolio will transition to Mereo, and be led by former ESL Chief Underwriting Officer, Carla Greaves.
Julia Mansfield, Head of Casualty, led the transaction’s origination, structuring, and negotiation. She said, “We are delighted to welcome Carla and her team and to offer capacity to the existing Everen policyholders with AM Best ‘A- rated’ security. We look forward to working in partnership with Everen to ensure a smooth and seamless transition of this portfolio to the Mereo balance sheet.”
Greaves added, “I am really pleased to be able to bring myself and my team across to give continuity of coverage to the existing policyholders and their brokers. We are also pleased to announce a TPA arrangement with ESL to provide continuity of claims handling services.”
David Croom Johnson, Partner at Cedar Trace and Chief Executive Officer, Mereo, commented, “The transaction supports our vision to become a leading global insurance and reinsurance business, and reflects our commitment to develop high-quality primary insurance business.”
