Aspen Seeks OK for Post-Brexit Insurance Subsidiary in Ireland
Bermuda’s Aspen Insurance Holdings Limited has asked the Central Bank of Ireland to authorize a new insurance subsidiary in Dublin, Ireland.
Aspen said it is pursuing the new Irish subsidiary – Aspen Insurance Ireland DAC (Aspen Ireland) – in order to ensure that it can continue serving partners and clients in the European Economic Area (EEA) following the United Kingdom’s exit from the European Union.
Aspen said it will also utilize the proposed Lloyd’s Belgium Subsidiary through Aspen Managing Agency Limited (AMAL).
Subject to regulatory approval, Aspen anticipates that Aspen Ireland will be operational by the first quarter of 2019.
Classes of insurance business currently planned to be written via Aspen Ireland include casualty, credit and political risk, accident & health, and commercial property.
Existing UK and non-EEA policies not impacted by Brexit will continue to be written within Aspen Insurance UK Limited (AIU).
Mike Cain, chief executive officer of AIUK and AMAL, said Aspen has had a strong local branch presence in the Republic of Ireland for many years so Dublin is a “logical fit” for the new insurance subsidiary.
Aspen said it does not believe that its reinsurance business will be affected by Brexit, subject to political agreements regarding Solvency II equivalence.
Aspen is not along in choosing Ireland for its post-Brexit operations. Beazley, Chaucer, Everest Re, Neon, Standard Club, Travelers and XL Group are among the insurers that have indicated they will set up subsidiaries in Dublin.
Aspen provides reinsurance and insurance coverage in Australia, Bermuda, Canada, Ireland, Singapore, Switzerland, the United Arab Emirates, the United Kingdom and the United States. For the year ended December 31, 2017, Aspen reported $12.9 billion in total assets, $6.7 billion in gross reserves, $2.9 billion in total shareholders’ equity and $3.4 billion in gross written premiums.
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