Specialty insurer Torus has reached an agreement with Montpelier Reinsurance, the Bermuda reinsurance subsidiary of Montpelier Re Holdings, to sell the renewal rights of its property catastrophe reinsurance book of business with immediate effect.
Under this agreement Torus will also provide sidecar capacity to Montpelier, effective 1 January 2012.
Torus will continue to write casualty and specialty reinsurance through its Bermuda team under the leadership of David Whiting.
Torus CEO Clive Tobin said its strategy remains to build a global specialty insurer with niche exposure to reinsurance.
"with the continued expansion opportunities, the frim have determined it is more effective for the catastrophe reinsurance business to be integrated into the larger Montpelier portfolio, and to continue the catastrophe reinsurance participation through a sidecar arrangement," Tobin said.
Montpelier president and CEO Christopher Harris said the acquisition of these renewal rights and accompanying sidecar capacity further enhances the position in one of the core markets at a time when conditions are visibly improving."
With more than 500 employees in 13 offices worldwide, Torus provides property, casualty and specialty insurance, as well as reinsurance to a global client base through its European, US and Bermudian based subsidiaries.