QBE Re enters sidecar market with George Street launch

Core Viewpoint - QBE Re has launched its casualty sidecar, George Street Re, with a total transaction value exceeding $550 million, marking its entry into the sidecar business [1] Group 1: Transaction Details - The sidecar structure provides fully collateralised quota share reinsurance and is designed to reinsure a portion of QBE Re's global casualty portfolio [1] - The transaction is backed by Culpeper Capital Partners, Calidris Investment Partners, and specialty reinsurer Compre [1] Group 2: Strategic Intent - The arrangement aims to enhance capital management options for QBE Re and increase available capacity for its primary cedants [2] - QBE Group's CFO, Chris Killourhy, expressed excitement about the inaugural casualty sidecar, emphasizing its adaptability to business needs and the establishment of long-term partnerships with alternative capital providers [2] Group 3: Operational Framework - The reinsurance is facilitated through various cells of Mangrove Risk Solutions Bermuda, a licensed Class 3 insurance company [3] - Compre Group has taken a defined portion of the sidecar, allowing it to expand its engagement in low-volatility and long-term underwriting classes [3] Group 4: Leadership Insights - QBE Re's managing director, Nick Hankin, highlighted that the support from new partners will help meet the growing demand from cedants while maintaining an optimal net portfolio and diversifying capital sources [4]