US-based Richmond National has launched a new speciality excess and surplus lines insurer Richmond National Insurance Company (RNIC).
Richmond National has received $70m in equity capital from a group of investors including HF Capital, Bonhill Capital, WT Holdings and the senior management team.
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The new entity specialises in writing hard to place risks for small and medium-sized businesses.
RNIC is focused on the excess and surplus lines market, which provides its underwriters’ flexibility to develop bespoke insurance solutions.
It underwrites risks in general casualty, contractors casualty, excess casualty, commercial property, inland marine, professional liability and small business packages.
Joe Kavanagh established Richmond National and will lead it as the president and CEO.
Kavanagh said: “We are in an environment of constrained capacity in terms of capital and experienced underwriting talent in many lines and classes of business. We have targeted niches where we see an opportunity for profitable underwriting.
“We believe that our strong, clean balance sheet combined with modern, cloud-based, technology will provide an excellent foundation on which to build a successful, customer-focused E&S carrier.”
RNIC, which has a domestic license, has received an ‘A-‘ financial strength rating and an ‘a-‘ issuer credit rating from A.M. Best Company.
HF Capital head of direct investments Wellford Tabor said: “Our company will focus on providing excellent service to our broker partners and our policyholders in sectors that we know well. We believe this is the right strategy at the right time with the right team.”
