Capital solutions

Twelve offers structuring of private debt transactions with smaller insurance companies seeking solvency capital.

Private Debt Solutions

Solvency financing is needed to boost capital ratios and finance growth and consolidation among smaller insurers. However less than 5% of the 10,000 plus insurance companies worldwide are large enough to issue public debt or gain direct wholesale access to capital markets. We are able to provide much needed capital to this segment of the insurance market.

Our sourcing desk draws on an established intermediary network and extensive sector knowledge to build and maintain relationships with smaller creditworthy companies with strong management teams. We know how to understand and look at these companies from different angles, and how to collaborate with them. While investigating and developing Private Debt opportunities, our sourcing desk also gains insight into opportunities in the public Insurance Bond market.

Private Cat Bond Solutions

Most Cat Bonds are issued, traded over the counter, and priced weekly. More recently, private Cat Bonds have been issued and absorbed by single investors or limited groups of investors. We are helping drive the origination and development of private Cat Bond transactions.

Our network of reinsurance relationships enables us to identify risk opportunities that are less common in the Cat Bond market. Our legal structuring expertise allows us to package these risks in a variety of note formats offering efficient risk transfer to cedants and attractive premiums to investors. The market insights we gain developing private Cat Bond transactions also enhance our ability to source and exploit opportunities in Cat Bonds.

Private ILS Solutions

In a growing reinsurance market it is essential to know whether counterparties wish to cede risk, and what type of protection they seek. Our sourcing desk has cultivated strong reinsurance broker relationships. They help us to learn about upcoming deals, gain access to a variety of less common transactions, and understand the objectives and underwriting skills of cedants.

We have successfully entered new classes of business through Private ILS transactions, including terrorism, fire, marine, aviation and crop insurance risks. We develop our understanding and risk modelling capabilities in new lines of business by cooperating with industry experts and academic institutions.