Insurance run-off management firm RiverStone Insurance UK (RIUK) has announced that it will receive a portfolio of reinsurance business from the UK branch of Aioi Nissay Dowa Insurance Company (ADI).
The transfer, which took effect on January 31, 2020, was made under Part VII of the UK’s Financial Services and Markets Act 2000, RiverStone said in a statement.
Furthermore, the transfer provides ADI with legal and economic finality in respect of the transferred portfolio and enables ADI to focus its resources on its core business.
According to an earlier statement by ADI, the portfolio comprises a mix of international reinsurance business written by ADI in Japan and relocated to ADI’s UK branch on December 21, 2018. This inwards reinsurance business includes contracts reinsuring marine, non-marine, and aviation risks under treaty and facultative contracts.
Prior to the transfer, an independent expert was hired by the firms to examine it. The expert’s report concluded that there would be no material change to the security or standards of service of any group of ADI’s policyholders or RIUK’s policyholders.
