Investor Beat Capital Partners will be launching Convergence, a credit insurance business to be led by founder and chief executive Stephen Pike.
According to Beat’s announcement, Convergence is expected to underwrite through a Lloyd’s consortium led by Beat Syndicate 4242. A specialty and technology-enabled credit non-payment insurance underwriter, Convergence is Pike’s response to what was described as a “largely unaddressed” need.
“Convergence will be launched to take advantage of the many opportunities available in the CPR (credit and political risk) market,” noted Pike, a Canopius alumnus with two decades of credit experience. “It is a complex sector, and the team has a wealth of experience.
“We will be data-driven and have developed a proprietary model with UCL (University College London) which will provide scalable solutions for our clients. Our purpose-built technology, industry knowledge, and understanding of individual clients will give us a market-leading position.”
The CEO will work with Convergence co-founder and partner Jeremy Hatchuel, who has a decade of quantitative expertise bridging capital markets and insurance. His credentials include time spent as insurance-linked securities structurer at Aon Securities. Hatchuel was also part of the CPR team at Canopius.
Commenting on the planned launch, Beat chair John Cavanagh said: “Beat is always looking for fresh and innovative insurance business ideas led by entrepreneurs with extensive knowledge and expertise in their field.
“Stephen stood out in this class due to his depth of client understanding and unique focus on bringing the best-in-class technology to launch a truly differentiated business in the credit insurance market. We look forward to working with them when they get started and to supporting their innovation.”
Combining technology and data analytics, Convergence’s proprietary algorithmic modelling platform will enable the new credit insurance business to swiftly integrate, enhance, and utilise extensive data provided by financial institutions. The initial focus will be on Europe and North America.
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