Wholesale specialist re/insurance broker MNK Re has introduced a new energy facility aimed at providing reinsurance solutions for small and medium-sized enterprises (SMEs) across Latin America.
Explaining the launch, MNK Re said that it identified a gap in competitive capacity for energy-related risks in the international reinsurance market, prompting the development of a facility designed to meet the needs of SMEs in the region.
While primarily focused on smaller businesses, MNK Re said that the facility can also accommodate larger programs if required.
With its launch coinciding with Miami Reinsurance Week, the facility offers capacity of up to US$50 million per declaration, targeting businesses that may not meet the minimum premium thresholds of the London and Lloyd’s markets.
MNK Re said that the solution provides an option for clients and brokers seeking alternatives to traditional reinsurance structures.
Coverage also extends across all energy sectors, including upstream, midstream, downstream, power generation, and renewable energy, and is available in all Central and South American countries.
The launch also highlighted plans for the broker. Group chairman Manoj Kumar (pictured above) said Latin America is a priority for MNK Re in 2025 and that the company intends to expand the facility to additional regions, including the Caribbean, Africa, Asia, and the US.
The new facility is just the latest in MNK Re’s efforts to bolster its energy offerings. A few months ago, the company also appointed Mark Ritson as director of energy in a global push to expand its upstream and downstream energy, power generation, and renewable energy solutions.
The energy sector, in particular renewables, is on the radar for many re/insurance specialists this year as the market continues its upward trajectory. The latest outlook from Gallagher Re projects that renewable energy insurance will continue to expand as wind, solar, and other clean energy sources gain momentum.
Gallagher Re noted that while current development remains below levels needed to meet global net-zero targets, further growth is expected in 2025.
What are your thoughts on this story? Please feel free to share your comments below.
