As its parent group grapples with the aftermath of the Japanese earthquake international re/insurer Kiln has announced it has formed a new operation to enter the liability market.
The new liability function will pump new capacity into the general liability risks with the operation led by Chris Jones, will initially focus on writing primary and excess business in the open market, as well as supporting and developing Kiln's market-leading position in the binding authority field. It will operate with a $25m line size and will write across all business sectors, for risks domiciled in all territories worldwide excluding the USA.
Classes underwritten will include onshore energy; utilities and telecommunications; contractors and construction industry; single project construction; mining and natural resources; manufacturing; chemicals; railways and transportation; sports and leisure; property owners, and hotels and real estate. Mr Jones joins Kiln from D.A. Constable Syndicate 386, which is now part of QBE.
He said: “Kiln has an excellent reputation in the market and I’m thrilled with the opportunity to lead this new strategy at such an exciting time. We are currently recruiting high-calibre individuals to expand and enhance our capability as part of our long-term aim to become a high-quality participant in the liability sector. This is an exciting development for the market and I’m looking forward to the challenge.”
The liability team will be within the Property and Special Lines (PSL) division of Kiln Syndicate 510 at Lloyd’s, which is led by Robin Hargreaves.
He said: “Placing the liability function within the PSL team maximises our opportunities to tailor a full product offering to meet our clients' business needs.” “This is a real step-change for Kiln as we take our significant expertise in the short-tail market into this exciting new field. Chris' vast experience in this area will be a significant asset for us as we grow.”
It comes as reports in Asia say that the Japanese non life insurers are said to be considering a sell off of part of their overseas assets as they look to meet the cost of the earthquake and Tsunami.
Analysts in Japan have been reported in the Asian media as saying the underwriters will need to enhance their cash levels to pay for the claims as an estimated 300,000 people remain homeless and the death toll has risen to in excess of 15,000.