DARAG has completed sale of North American and Bermuda business entities to the RiverStone Group
DARAG Group (“DARAG” or “the Group”), a leading legacy acquirer with a focus on the European market, today announced that it has completed the sale of its North American and Bermuda business entities to the RiverStone Group (“RiverStone Group”), following regulatory approval.
Tom Booth, CEO of DARAG, said: “We are pleased to complete this transaction, which simplifies DARAG’s operations. It allows the Group to focus on its core European business, and brings additional capital to execute a strong pipeline of European transactions, several of which are in advanced stages of negotiation. We will now be bringing firepower to our European core where our strong, well capitalised niche position and good market conditions provide an excellent outlook.“
DARAG was advised by PJT Partners and Nomura as lead financial advisers, RBC as financial adviser, and Proskauer Rose LLP as legal adviser. RiverStone’s legal advisors were Norton Rose Fulbright US LLP.
DARAG completes captive transaction in Benelux
DARAG Group (“DARAG” or “the Group”), a leading legacy acquirer, today announced the conclusion of an agreement between an undisclosed Benelux based captive, the captive’s policyholder and DARAG’s German insurance carrier DARAG Deutschland AG.The parties have agreed that DARAG shall assume expired long term liability insurance policies. By way of the novation, DARAG will provide full legal, operational, and economic finality for the captive. Completion of this transaction allows the company to cease operations of its captive insurance company. Guy Carpenter acted as broker and sell-side advisor on this transaction.Tom Booth, CEO of DARAG, said: “DARAG continues to expand its footprint in Benelux and has brought to bear its local claims know-how in the diligence and ongoing management of this specialist portfolio. Once again, we have proven that our Continental European DNA is a differentiator in the market place. ”Alexander Roth, global head of M&A and CEO of DARAG Europe, added: “We were delighted to be able to offer our client a comprehensive final solution for its captive insurance company via this novation agreement. Novation is an extremely efficient process, which meant it could be completed swiftly allowing our client to focus on its core business. This is a further demonstration of DARAG’s ability to provide timely and attentive service to clients looking to redeploy capital to further their strategic goals.”
Η DARAG γίνεται η πρώτη εταιρεία run-off που εφαρμόζει τη λύση Τεχνητής Νοημοσύνης DRILLER
Η DGTAL, η πρώτη εταιρεία Software-as-a-Service στην Ευρώπη που αποκωδικοποιεί και επεξεργάζεται μη δομημένα ασφαλιστικά δεδομένα με τη χρήση Τεχνητής Νοημοσύνης και η κορυφαία εταιρεία run-off στην Ευρώπη DARAG, ανακοίνωσαν σήμερα την υπογραφή τριετούς συνεργασίας. Η συμφωνία περιλαμβάνει παλαιότερα και μελλοντικά χαρτοφυλάκια ζημιών.
Το DRILLER θα επιτρέψει στην DARAG να αξιολογεί τα ασφαλιστικά χαρτοφυλάκια πολύ ταχύτερα και με μεγαλύτερη ακρίβεια, παρέχοντας έτσι ανταγωνιστικό πλεονέκτημα στην αποτίμηση τους και στον διακανονισμό των αποζημιώσεων. Εστιάζοντας στον ασφαλιστικό κλάδο και έχοντας ξεκινήσει πριν από τρία χρόνια, η DGTAL έχει σημειώσει σημαντική πρόοδο στην εφαρμογή Large Language μοντέλων τεχνητής νοημοσύνης (LLM), όπως το GPT, στον συγκεκριμένο κλάδο. Η DGTAL έχει ιδρυθεί από στελέχη με μακρά πορεία στους κλάδους της τεχνολογίας και της ασφάλισης. Σε αυτό το πλαίσιο, αποτελεί φυσική επιλογή για την DARAG, την πρωτοπόρο, κορυφαία εταιρεία run-off στην Ευρώπη.
Απαράμιλλη ορατότητα χαρτοφυλακίων ζημιών με digital audits
Το DRILLER μετατρέπει όλα τα έγγραφα που σχετίζονται με ζημιές σε ψηφιακή μορφή, κατανοεί τους τύπους εγγράφων και το περιεχόμενο τους, προσδιορίζει τους αντισυμβαλλόμενους και άλλες γενικότερες πληροφορίες (entity recognition), καθώς και εντοπίζει, εξάγει και αναλύει τα βασικά θέματα (topic/data extraction and classification) που αφορούν τη ζημιά.
Για μια εταιρεία run-off όπως η DARAG, η διαχείριση των ζημιών βρίσκεται στον πυρήνα του αντικειμένου της και η ενσωμάτωση ενός νέου χαρτοφυλακίου αποτελεί βασικό παράγοντα επιτυχίας. Για δεκαετίες, τα χαρτοφυλάκια αξιολογούνταν με βάση τις συνήθως ανεπαρκείς πληροφορίες που ήταν διαθέσιμες σε δομημένη μορφή. Το DRILLER ξεκλειδώνει απαράμιλλη ορατότητα και διαφάνεια ολόκληρου του χαρτοφυλακίου κατά τη διάρκεια του due diligence, του onboarding και των ελέγχων, αλλά και κατά την ανάπτυξη της στρατηγικής διακανονισμού. Η διαδικασία ελέγχου για την ενσωμάτωση και την ταξινόμηση των ζημιών διαρκεί πλέον μερικές ώρες, αντί για εβδομάδες και επιτρέπει προληπτική διαχείριση των απαιτήσεων και ταχύτερο διακανονισμό. Επιπλέον, το DRILLER μπορεί να εκτελεί ελέγχους ποιότητας, να καθαρίζει και να φιλτράρει τον σωστό τύπο δεδομένων που πρέπει να ενσωματωθούν, κάτι που μέχρι στιγμής αποτελεί τη βασική επιχειρησιακή πρόκληση για τις εταιρείες run-off. To DRILLER παρέχει γρήγορη και εύκολη δημιουργία κανονιστικών εκθέσεων (regulatory reports), βαθύτερη κατανόηση του χαρτοφυλακίου και προβλέπει απαιτήσεις που είναι πιθανόν να εξελιχθούν σε υψηλές (severity prediction & scoring).
Ο Alexander Roth, Global Head of M&A και CEO Europe του Ομίλου DARAG, δήλωσε σχετικά: “Ήμασταν οι πρώτοι πάροχοι υπηρεσιών run-off στη κεντρική Ευρώπη και πλέον στοχεύουμε να γίνουμε οι πρώτοι που θα κάνουμε τη μετάβαση σε ένα επιχειρηματικό μοντέλο βασισμένο στην Τεχνητή Νοημοσύνη. Ο πυρήνας αυτού που κάνουμε είναι να αναλαμβάνουμε χαρτοφυλάκια απαιτήσεων σε ανταγωνιστικές τιμές και να τα διακανονίζουμε αποτελεσματικά. Από την πρώτη πιλοτική εφαρμογή με την DGTAL, έχουμε εντυπωσιαστεί ιδιαίτερα από το τι μπορεί να επιτύχει η ΤΝ, αλλάζοντας ριζικά τον τρόπο διαχείρισης των ζημιών”.
Ο Tom Booth, CEO του Ομίλου DARAG, δήλωσε: “Ο συνδυασμός της εμπειρίας μας στις εξαγορές χαρτοφυλακίων με τις δυνατότητες της τεχνητής νοημοσύνης θα εδραιώσουν την ηγετική θέση της DARAG στην αγορά run-off της Ευρώπης. Δυνητικά, πρόκειται και να ωφελήσουν και τις παγκόσμιες δραστηριότητές μας στο μέλλον. Η DGTAL είναι ο μόνος πάροχος αντίστοιχης τεχνολογίας που διαθέτει ασφαλιστικό DNA, γεγονός που την καθιστά φυσικό εταίρο για εμάς. Ανυπομονούμε να αναπτύξουμε αυτή τη συνεργασία προς όφελος των πελατών μας”.
Ο Arndt Gossmann, CEO της DGTAL, ανέφερε: “Η υπογραφή της πρώτης μακροπρόθεσμης συμφωνίας κατ’ ευθείαν με έναν ηγέτη της αγοράς αποτελεί μεγάλη επιβράβευση των προσπαθειών μας. Είναι συναρπαστικό να αντιλαμβανόμαστε τις ευκαιρίες που δημιουργεί η τεχνητή νοημοσύνη στον κλάδο της ασφάλισης, καθώς βοηθά στην αξιολόγηση και κατανόηση του τεράστιου όγκου των διαθέσιμων πληροφοριών πολύ καλύτερα από ποτέ, οδηγώντας σε τεκμηριωμένες αποφάσεις. Οι πρώτοι που θα υιοθετήσουν την ΤΝ είναι βέβαιο ότι θα επωφεληθούν περισσότερο”.
DARAG announces reinsurance agreement with large US carrier
DARAG Group (“DARAG” or “the Group”), a leading legacy acquirer, today announced the conclusion of a reinsurance agreement with a large US carrier. The transaction value at the reference date was approximately $15 million.The transaction has been written into DARAG Bermuda, which will provide the carrier with reinsurance cover for its workers’ compensation book of business.Tom Booth, CEO of DARAG Group, said: “This transaction is just one part of the uptick in appetite for legacy solutions that our North American platform is seeing. We continue to build upon our core focus of working with self-insured entities and fronting carriers alike. The DARAG team is one of the leading markets in this fast-growing niche of the legacy market. The team is working closely with current and potential clients and is delighted to report an increasing pipeline of repeat business.”Joel Neal, Executive Vice President, M&A at DARAG North America, added: “We are pleased to act as a trusted partner for this significant US carrier and to offer them an effective solution for their legacy workers’ compensation liabilities. Workers’ compensation is a particular strength of DARAG’s expanding North American business.We look forward to continue building relationships with our counterparties and offering a trusted and valued proposition for the discontinued books of small and large insurers alike.”
DARAG completes North American captive transaction
DARAG Group (“DARAG” or “the Group”), a leading legacy acquirer, announced the conclusion of a new agreement with an undisclosed captive insurance company. The transaction structure was a novation of its 03-06 and 15/16 policy years with primarily workers’ compensation reserves, allowing the counterparty full legal finality with DARAG facing the original fronting insurer. The transaction value as at the reference date was approximately $30 million.
The transaction has been written into DARAG Bermuda, which has a strong balance sheet and high solvency ratio having benefited from the recent commutation of a large commercial auto book.
Tom Booth, CEO of DARAG Group, said: “We are pleased to have acted as a trusted partner for our client enabling them to focus on their core business and ongoing underwriting profitability.
“DARAG has developed an excellent track record in this core niche of small to mid-sized captive and self-insured portfolios in North America. Our focus on underwriting discipline and risk management is central to our expansion. Our appetite to continue growth in this area is therefore stronger than ever. We expect to announce another similar sized transaction shortly and the pipeline for the remainder of the year is beyond expectations.
“DARAG Bermuda is a core carrier for the Group and now benefits from a well-diversified, mature and low volatility portfolio. I am delighted that we continue to have a wealth of attractive opportunities and the capacity to execute deals in our traditional area of focus. I look forward to the future of DARAG Bermuda and the remainder of the Group with confidence.”
Joel Neal, executive vice president, M&A at DARAG North America, added: “We are seeing a continued need for improved operational efficiency in the North American market. Transactions such as these enable our clients to achieve this, while simultaneously freeing up trapped capital. We look forward to announcing further transactions in the future.”
DARAG appoints Rob Samuel as COO
DARAG Group, a leading legacy acquirer, announced the appointment of Rob Samuel as Group Chief Operating Officer.Rob has more than 20 years of experience in the insurance market, spanning roles at Marsh, Aon, AmTrust and Flag Partners. He was most recently co-founder and CFO of Curotech Specialty Inc, a start-up MGA focused on underwriting North American specialty E&S businessTom Booth, DARAG group CEO, said: “Rob’s broad industry experience and excellent understanding of the requirements for a 21st century COO will be invaluable to DARAG. He has the technical and leadership abilities we need to head all the operational aspects of our group and we are delighted he is joining us.”Rob Samuel said: “It’s a great time to be joining DARAG. The group has an excellent team of professionals across all the run-off disciplines. I am looking forward to continue building out the claims management and operational capabilities of the group as it grows through the acquisition of additional run-off portfolios in Europe and North America.”
New North American captive transaction for DARAG
DARAG Group (“DARAG” or “the Group”), a leading legacy acquirer, has announced the conclusion of a new agreement with an offshore captive insurance company. The transaction structure was a novation, allowing the counterparty full legal finality. The transaction value was approximately $10 million.The transaction has been written into DARAG North America, which will provide legal, economic and operational finality for the underlying US P&C business of the counterparty.Tom Booth, CEO of DARAG Group, said: “There is a clear need from clients in North America and globally for tailored capital relief solutions provided by a trusted partner. We are pleased to achieve this excellent result for our clients, enabling them now to focus on their core business, safeguarding their strategic and operational efficiency in the future.”
DARAG acquires Guernsey reinsurance captive
DARAG Group (“DARAG” or “the Group”), a leading legacy acquirer, announced the acquisition of a Guernsey based reinsurance captive.
The sale of the captive, which has been in run-off since 2019, is part of a strategic realignment for its cedant owner, which is looking to tighten its business focus. Its key business lines are property damage, business interruption, and public and employers’ liability in the UK, areas of proven expertise for DARAG.
This is the second transaction for the Group in Guernsey, reinforcing its position in the market, as well as across Europe and North America.
Tom Booth, CEO of DARAG Group, said: “It is important for our clients to know that we can ensure their strategic goals are reached through working with us, and the completion of this deal certainly demonstrates that. Their confidence in us shows that DARAG is trusted worldwide to provide high quality, reliable legacy solutions for a wide spectrum of clients.”
The transaction is subject to regulatory approval from the Guernsey Financial Services Commission (GFSC) approval.
DARAG completes deals with SADA and Insr Norway
DARAG Group (“DARAG” or “the Group”), a leading legacy acquirer, announced the formal completion of the motor Portfolio Transfer Agreement (“PTA”) with French insurer SADA Assurances, a subsidiary wholly owned by the German group DEVK Versicherungen.
DARAG now provides economic and operational finality for a portfolio of all of SADA’s motor business, which comprises French motor third party liability, motor own damage and motor legal protection risks. This agreement is the first publicly disclosed insurance PTA to a run-off player on the French market and demonstrates the increasing interest for legacy solutions in France. It has received regulatory approval from the Autorité de Contrôle Prudentiel et de Résolution (“ACPR”) in France and Bundesanstalt für Finanzdienstleistungsaufsicht (“BaFin”) in Germany.
DARAG also today announced the formal completion of a Loss Portfolio Transfer (“LPT”) followed by a PTA with Insr Insurance Group ASA (“Insr“), an insurance group listed on the Oslo Stock Exchange.
The PTA has been approved by the Norwegian FSA, Finanstilsynet (“NFSA”) and BaFin. All of Insr’s remaining insurance business forms part of this transaction. The portfolio consists mainly of motor, property, casualty and workers’ compensation liabilities from both Norwegian and Danish jurisdictions. The deal sees DARAG providing legal finality of Insr’s insurance liabilities and economic and operational relief.
Tom Booth, CEO of DARAG Group, said: “With the completion of these transfers, we demonstrate again that DARAG is trusted worldwide to provide high quality, reliable legacy solutions for a wide spectrum of clients. We are pleased to be able to broaden our offering to clients as our presence and reputation for providing outstanding service across European and global markets grows.”
DARAG announces the signing of a loss portfolio transfer agreement with China Taiping UK as the first step towards a Part VII transfer
DARAG Group (“DARAG” or “the Group”), a leading legacy acquirer, announced that its German insurance carrier DARAG Deutschland AG has signed an agreement for a loss portfolio transfer (LPT) with China Taiping Insurance (UK) Co Ltd (“CTI”), a subsidiary of China Taiping Insurance Group ahead of a Part VII transfer.CTI has been underwriting in the UK and Europe since 1985, but due to changing regulatory requirements following Brexit, has turned to the legacy market to transfer its EU book of business. The transaction includes CTI’s business underwritten in the Republic of Ireland, the Netherlands, Belgium and Denmark and will provide a clean exit to CTI.Tom Booth, Group CEO, said: “We are delighted to partner with CTI through this transaction, which forms part of our overall strategy to offer bespoke localised solutions, backed by regional expertise. CTI’s trust in DARAG to support its clients for the remainder of their policies demonstrates the strength of our reputation to provide successful outcomes for clients.”Alexander Roth, Chief Executive Officer of DARAG Europe, said: “Our track record of successful transactions – both in Europe and globally – makes us the natural choice to provide a high quality and reliable legacy solution for CTI. Through our forward-thinking solutions, we are pleased to offer economic and operational finality for our partners.”Xiaodong (Sheldon) Yu, CTI CEO, said: “Partnering with Darag for a loss portfolio transfer provides an effective and compliant solution to CTI, which is an important first step towards Part VII transfer. “