Bermuda-based insurer Mereo Insurance Limited (Mereo) has begun underwriting the first excess casualty energy policies under a renewal rights deal between Everen and Cedar Trace, an insurance, reinsurance and asset management group that is strategically aligned with Mereo.
This follows a reported acquisition of Everen Specialty Ltd.’s (ESL) excess casualty energy portfolio renewal rights and the simultaneous expansion of Mereo’s business in excess casualty insurance.
Under the terms of the deal, ESL’s underwriting team and underwriting systems supporting the portfolio will also transition to Cedar Trace, providing continuity of coverage and systems and a team that is familiar to existing policyholders.
Additionally, ESL’s underwriting team and underwriting systems handling the excess casualty energy portfolio will transition to Mereo and be led by former ESL chief underwriting officer Carla Greaves.
Casualty principal Julia Mansfield led the origination, structuring and negotiation of the deal. She said: “We are delighted to welcome Carla and her team and offer AM Best ‘A-rated’ security to existing Everen policyholders. We look forward to working with Everen to ensure a smooth and seamless transition of the portfolio onto the Mereo balance sheet.”
Greaves added: “I’m really pleased to be able to position myself and my team to provide continuity of coverage to existing policyholders and their brokers. We are also pleased to announce a TPA arrangement with ESL to provide continuity of claims handling services.”
David Croom Johnson, Partner at Cedar Trace and CEO of Mereo, commented: “This transaction supports our vision to become a leading global insurance and reinsurance business and demonstrates our commitment to growing a high-quality primary insurance business.”
