RenaissanceRe Holdings Ltd. (RNR) announced the formation of Timicuan Reinsurance III Ltd., a new Bermuda reinsurance company, creating additional reinsurance capacity for the Florida homeowners market.
Renaissance Reinsurance Ltd. and DaVinci Reinsurance Ltd. have entered into a fully-collateralized reinsurance agreement with Tim Re III, under which Renaissance Reinsurance and DaVinci will cede to Tim Re III a defined portfolio of their property catastrophe business, covering primarily hurricane risks for Florida insurers during the 2012 hurricane season. Investors, including RenaissanceRe, have agreed to capitalize Tim Re III with about $55 million of equity capital.
Tim Re III will be managed by Renaissance Underwriting Managers, Ltd.
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