New billion-dollar Bermuda start-up Ironshore Insurance has now incorporated a Class 3 reinsurance vehicle for its own internal use.

But speculation in major news media on both sides of the Atlantic that the Robert and John Clements-founded insurer is running the rule over possible Lloyd's firms to buy or form a syndication has been given short shrift by Ironshore chief executive officer Bob Deutsch.

Earlier this year Ironshore made a point of stressing its difference within the Bermuda market as an insurer rather than a reinsurer. It is initially focusing on the hurricane-prone US Gulf Coast and other regions of the US.

The company has opted to start a reinsurance unit for its own sole use, not to go into commercial business as a general reinsurer, explained Mr. Deutsch.

"It is an internal vehicle to help get business from the US, we are not underwriting reinsurance the way others are or looking to sell reinsurance. Ironshore will still be in the business of insurance," he said.

Regarding reports that in a number of international publications and on newswires that Ironshore is looking to buy or link up with a Lloyd's firm, Mr. Deutsch said he had not seen those reports but added they were "pure speculation".

Ironshore's chief underwriting officer Les Rock indicated in January that the firm will have a London presence at some stage this year.

Other Class 3 incorporations since January are Bridgewood Insurance, Chartfield Reinsurance, Ginsen Reinsurance, Independent Contractor Protection Assurance, Mount Prospect Limited, New Olympia Re, Stone Risk Services (Bermuda) Limited, Tern Reinsurance and Group Ark Insurance Limited.

Group Ark Insurance was incorporated on February 28. It is headed by former Marsh & McLennan chief Jeffrey Greenberg and joined forces with investors including Swiss Re and Lehman Brothers to launch a new Lloyd's of London underwriting vehicle Ark Syndicate Management in March.

Amongst the new Class 1 incorporations is HBI Risk Management, a subsidiary of global consumer goods company Hanesbrands Inc., which owns world-famous brands such as Champion, Wonderbra and Playtex.

Two other Class 1 captive insurance companies incorporated in Bermuda since the start of 2007 are SJHS Insurance Limited and American Oak Hill Assurance.

The only new Class 4 incorporation is Starr Insurance and Reinsurance. Since January there have also been four long-term incorporations, namely Aurigen Re, Generation Life Limited, Gentwo Limited and Opal Reinsurance.