Peter Newton

Peter Newton asked about changes to retentions on Fidelis Insurance Group's XOL reinsurance program following a 20% rate decline, and sought details on the newly purchased aggregate cover, including why it became available now. He also inquired about the intellectual property line within asset-backed finance and portfolio credit, specifically regarding software concerns in the market.

Answer

Group CEO Dan Burrows clarified that the aggregate deal mentioned was for volatility in other lines of business, not cat, and has been in place since 2015. Group Managing Director Jonny Strickle added that the market is significantly different from a year ago, allowing for aggregate cover in the cat program and broader coverage with lower attachment points, rather than just cashing in on price reductions. He noted the company's opportunistic approach to reinsurance across various market instruments. Jonny Strickle also confirmed that Fidelis exited the intellectual property line a couple of years ago, with remaining policies running off, and has seen no recent loss activity or plans to re-enter that market.

Peter Newton from Evercore Inc. also inquired about Fidelis Insurance Group's intellectual property line within asset-backed finance and portfolio credit, specifically addressing any concerns related to current software market issues.

Answer

Group Managing Director Jonny Strickle confirmed that Fidelis exited the intellectual property line a couple of years ago, has minimal run-off exposure with policies expiring over the next year, has not observed any significant loss activity, and has no plans to re-enter this market.