22 November 2012Bermuda analysis

AOG to move from Bermuda to Barbados

The American Overseas Group (AOG) has announced plans to move its captive from Bermuda to Barbados on or around December 7th of this year.

The move is a bid to start afresh after RAM Re’s portfolio suffered huge losses during the global financial crisis, sending the company into run-off. AOG plans to build a new property and casualty reinsurance business alongside its run-off endeavours after the move.

AOG CEO, David Steel said: “our strategy is to enhance shareholder value by writing short-tail, property and casualty reinsurance business complimenting our long-tail financial guaranty portfolio run-off. AORE’s redomestication is integral to our business plan.”

AOG will remain a Bermuda-domiciled holding company with 100 percent ownership of the common equity in AORE. AOG’s affiliated management company, Reid Street Services, will continue to be domiciled in Bermuda and will continue to provide services to AORE.