Orchid Underwriters Agency, a specialty underwriter of catastrophe-exposed property insurance, has partnered with US property insurer Homesite to create a new Florida-based reciprocal insurance company.
The new company, called TRUE (Trusted Resource Underwriters Exchange), is domiciled in Tampa and will offer owner-occupied homeowners insurance, as well as bundled, optional coverages and a private flood solution, for medium-to-high-value homes.
Starting this month, the products will be distributed through agent partners, first in Florida and later into the Gulf, Southeast and Mid-Atlantic states.
“TRUE is designed to provide superior protection and service to customers in catastrophe-prone areas who are actively involved in protecting their properties,” said Michael Lorion, TRUE’s chief executive officer and former chief financial officer of Homesite.
“With strong financial backing, broad coverage offerings and a commitment to best-in-class service, TRUE offers insurance solutions through a collaborative relationship with homeowners to help prevent and mitigate risks.”
Lorion has nearly 25 years’ experience in the industry, having held leadership in several large property casualty carriers including Homesite, Hanover Insurance Group and Travelers Insurance.
As CEO, Lorion serves on TRUE’s board of managers along with executives of Orchid; TowerBrook Capital Partners, a private equity firm and majority owner of Orchid; Homesite; American Family Insurance, Homesite’s parent; and a manager independent of those companies.
Additionally, the company’s management team will include Stephen Russell as chief underwriting officer and Scott Soderstrom as chief operating officer
Russel is the former chief actuary of Tower Hill Insurance Group and chief underwriting and actuarial officer of American Modern Insurance Group, while Soderstrom is an experience insurtech and insurance operations expert.
“We are blazing our own trail,” said Brad Emmons, president and chief executive officer of Orchid Underwriters. “Given what we are seeing in the market, we are proactively developing new admitted products that meet the needs of risk-conscious customers and agency partners.”
“We are excited about the partnership between Orchid Insurance and Homesite and believe that our collaboration will offer exceptional benefits to our member-owners,” Emmons added.
Lorion also commented: “Customers want a claims process that is responsive, hassle-free, and compassionate, and that’s what we intend to deliver. In the event of large-scale catastrophic events, TRUE will have the resources on call to quickly provide the necessary support to help our customers recover and rebuild.”
TigerRisk Capital Markets & Advisory acted as sole Transaction Advisor to Orchid Underwriters and Placement Agent to TRUE.