2 July 2013Actuarial & underwriting

R&Q acquires MPPA Insurance in first Bermuda transaction

R&Q has acquired MPPA Insurance, a Class 2 Bermudian captive already in run-off, for $3.4 million in its first Bermuda transaction.

R&Q has acquired the captive from parent Michigan Plastic Processors Association, with the entity having written workers’ compensation for the association’s self-insured fund. Contracts will be novated to cells in R&Q’s Bermuda rent-a-captive facility, R&Q Quest SAC Limited.

Commenting on the deal, Ken Randall, CEO of R&Q, said: "We are delighted to have completed this transaction which is our first for the Bermuda captive market.  Having seen success in other domiciles in the last twelve months, notably Guernsey, we are pleased to now see increasing activity from Bermuda captives looking for exit or restructuring solutions.  Whether acquisition, novation or loss portfolio transfers, the Group has a suite of versatile solutions for the captive sector."