excess-of-loss and quota share reinsurance of Delphi Financial's group employee benefit business.

Full administrative and back office support is being provided at present, by captive manager International Advisory Services.

The initial plan was to form the company with specific emphasis on business through Delphi Financial Group (DFG) subsidiaries, Safety National Casualty of St. Louis and Reliance Standard Life Insurance of Philadelphia.

But Oracle president, Colin O'Connor, who headed Belvedere Insurance, a Bermuda company that is now in run-off, said the new concern will keep its options open.

Mr. O'Connor said: "We will remain pretty focused on that which we know best.

Our initial focus is to be the reinsurer for the DFG, but to also be a part of the overall marketing effort of DFG.

"For example, Safety National could offer rent-a-captive facilities to companies, and simply extend the range of choices to the group customers by having an offshore entity.'' The company has effected the portfolio transfer of already written reinsurance business in the region of $116 million, and expects another $5 million to $10 million in premium from within the group. The latter portion, it is anticipated, might undergo some natural growth.

But Mr. O'Connor said: "There is no hard target for non-group premium. I am thoroughly in favour of avoiding the setting of ambitious targets in markets that are very soft.

"That would encourage the undercutting of rates that are already too soft.

And we will not do that.''