Exclusive: Folgate will write £35m in premium in its first year of operations following its relaunch as an insurer, the company said.
The company has partnered with MS Amlin, which will provide capacity for online business in the company’s property, liability and professional indemnity book.
The relaunch will go live next month, and the insurer will take on new business from 1 January.
Ian Russell, chief underwriting officer at Folgate, told Post: “All of our tobas [terms of business arrangement] with brokers, won’t change. They’ll go from dealing with us as an managing general agent on one day, to being an insurer on the next day.”
It follows the acquisition of Folgate from Towergate in 2014, by APC Underwriting. The relaunch will see Folgate become the risk bearing-entity for the business written by APC.
At present, Tokio Marine Kiln is the front market for APC’s business, with Folgate providing a portion of reinsurance since 2015.
Folgate was granted a license to operate as an insurer earlier this year, and is understood to have sufficient capital under Solvency II to act as a carrier for a portion of the business of APC.
It is not known how much of the total book Amlin will provide capacity for. Russell said the deal was in order to avoid having Folgate scale back its operations in the first year.
He added: “It’s more about capital, to get Amlin onboard, so we can continue to write more business, rather than reduce capacity for 2019.”
Russell said there were plenty of opportunities at present in Lloyd’s for Folgate to grow along existing business lines.
He said: “There are lots of company markets, syndicates pulling out of business. Lloyd’s seems to be in a bit of turmoil at the moment. We think it’s the perfect time to look at some of that business to see if we can help brokers and coverholders.”
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