Blue Capital books double-digit rate rises
Blue Capital Reinsurance Holdings Ltd said it saw double-digit percentage rate increases during January renewals.
Mike McGuire, the Bermudian company's chairman and chief executive officer, said: “Following the significant industry losses experienced in 2017, we are pleased to report improved market conditions during the January renewal period.
“On average, loss affected business benefited from renewing rate increases of 15 per cent to 20 per cent while non-loss affected agreements benefited from rate increases of 3 per cent to 5 per cent, in each case compared to 2017 and net of expenses.
“The company anticipates generating an 8 per cent increase of fully converted book value per common share on a mean loss basis and 13 per cent on a median loss basis, inclusive of dividends paid in 2018.”
As of January 2018, Blue Capital bound indemnity reinsurance contracts with expected total annual premiums of $27.8 million.
Blue Capital offers collateralised reinsurance in the property-catastrophe market and invests in various insurance-linked securities.