Convex obtains reciprocal jurisdiction reinsurer status in the US

Convex Group Limited (“Convex”) today announces that Convex Insurance UK Limited (“CIL”) and Convex Reinsurance Limited (“CRL”) have received approval from the National Association of Insurance Commissioners (“NAIC”) and the California Department of Insurance (“California”) to operate as a reciprocal jurisdiction reinsurer, effective from 1 January 2022.

This reciprocal jurisdiction status will allow CIL and CRL to write reinsurance business in the US, without the requirement to post reinsurance collateral, via a passporting arrangement with other US states. These two entities are the first in the global (re)insurance market to be granted reciprocal jurisdiction reinsurer status by California and the NAIC.

Paul Brand, Co-Founder and Deputy CEO of Convex Group, said: “This is an excellent development for Convex. Since our launch in 2019, we have always been interested in expanding our platform to reach other major markets outside of the UK and Bermuda. I look forward to watching our teams at CIL and CRL provide top-quality complex risk solutions to our extensive network of reinsurance clients and brokers in the US.”

Convex was advised by Locke Lord LLP.

UPDATE – December 2022
Convex is now registered as reciprocal reinsurer in the following US states with an effective date of 1/1/2022 unless otherwise stated: Alabama, Alaska, California, Colorado, Connecticut, Delaware, Florida, Georgia, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Michigan, Minnesota, Mississippi, Missouri, New Hampshire, New York, North Carolina, North Dakota, Ohio, Pennsylvania, Rhode Island, South Carolina (effective date 18/7/2022), South Dakota, Tennessee, Texas, Vermont, Virginia, Washington (effective date 15/7/2022), West Virginia, Wisconsin (effective date 1/6/2022) and Wyoming.

Convex is also a certified reinsurer in Wisconsin, and Convex will rely on that status for the period 1/1/22 to 31/5/2022.

We are expecting additional registrations to follow.

Find out how to request a letter of credit for: CIL here CRL here