The Toa Reinsurance Company (Toa Re) and Barbican Insurance Group have received in-principle approval from the Lloyd's Franchise Board to establish Toa Re Special Purpose Arrangement (SPA 6132) to be backed exclusively by Toa Re.
Subject to formal approval, SPA 6132 will commence underwriting on 1 January 2018.
Managed by Barbican Managing Agency (BMAL), Toa Re has an initial capacity of £31.4mn (USD$41mn).
The SPA will support the expansion of Toa Re’s international portfolio of business, serve to introduce new business into the London market and also expand Lloyd’s reach amongst the Japanese market.
Toa Re is the sole domestic professional reinsurer in Japan providing both life and non-life coverage. Over the last 77 years, the company has established a leading market position, and secured a highly diversified, well-balanced and stable portfolio of business.
BMAL has extensive experience in the establishment and management of special purpose arrangements, as well as a full syndicate application for Arcus 1856.
Mr Tomoatsu Noguchi, President and Chief Executive of Toa Re, said: “Establishing a strong platform within the Lloyd’s market is a key strategic step in our ongoing efforts to grow and diversify our international portfolio. Sponsored by Barbican with a successful track record in this area, we are confident that through SPA 6132 we will build a long-term, secure presence in the London Market.”
Group CEO of Barbican Insurance Group, David Reeves added: “Barbican is committed to building mutually beneficial relationships with like-minded and forward-thinking corporate partners. We are delighted to be working with Toa Re to support their ambitions, while also looking to expand our footprint in Asia where we see significant opportunities to develop strategic business relationships and gain more in-depth market knowledge.”