Office Allows Bermuda Reinsurer Validus Reinsurance, Ltd. to Operate with Reduced Collateral and Become the 20th Eligible Reinsurer in Florida
Targeted News Service
TALLAHASSEE, Fla., Aug. 10 -- The Florida Office of Insurance Regulation issued the following news release:
The Florida Office of Insurance Regulation (Office) signed a consent order that allows the twentieth reinsurer, VALIDUS REINSURANCE, LTD., to post reduced collateral and operate in Florida as an eligible reinsurer. This consent order makes VALIDUS REINSURANCE, LTD. the eighteenth Bermuda reinsurer to operate in Florida with similar terms. Bermuda reinsurers provide more than 60% of the private market reinsurance to Florida's domestic insurers. The other two eligible reinsurers are from Germany and the United Kingdom.
VALIDUS REINSURANCE, LTD. reported capital and surplus exceeding $3.3 billion on their most recent year-end financial statement as of December 31, 2011, which exceeds the $250 million requirement under Section, 624.610(3)(e), Florida Statutes. The reinsurer also indicated secure financial strength by demonstrating favorable ratings from two statistical rating organizations deemed acceptable by the Commissioner as having experience and expertise in rating insurers doing business in Florida. Florida was the first state to allow ceding insurance companies to receive full credit on their financial statements for reinsurance purchased from non-U.S. based reinsurers that are highly rated and financially sound. A Florida's Eligible Reinsurers page is available on the Office's website with consent orders and press releases for all approved eligible reinsurers. Other eligible reinsurers in Florida include (in alphabetical order): Ace Tempest Reinsurance Ltd.; Allied World Assurance Company, Ltd.; Alterra Bermuda Limited; Arch Reinsurance Ltd.; Ariel Reinsurance Company Ltd.; Aspen Insurance Limited; Axis Specialty Limited; DaVinci Reinsurance Ltd.; Endurance Specialty Insurance, Ltd. (Endurance); Hannover Re (Bermuda) Ltd.; Hannover Ruckversicherung AG; Hiscox Insurance Company (Bermuda) Limited; Montpelier Reinsurance Ltd.; Partner Reinsurance Company Ltd.; Platinum Underwriters Bermuda, Ltd.; Renaissance Reinsurance Ltd.; Tokio Millennium Re Ltd.; Underwriters at Lloyd's, London; and XL Re Ltd.