Reinsurance that offers leveraged returns
Swan Re combines our DRS with a low-risk, low-cost reinsurance company structure. Swan’s expertise in the insurance industry and market-leading risk/return characteristics of the DRS make a perfect fit for leveraged returns through a reinsurance product.
The launch of this product follows a proven format demonstrated by Greenlight Re, Third Point Re and Berkshire Hathaway, all of which direct reinsurance returns to investments rather than underwriting income. For the investor, Swan Re offers the possibility of earning a multiple of DRS’ historic returns through investment of premium float (premiums yet to be paid out as claims).
Swan Re will insure low-risk (low severity, high frequency) types of business that are contractually capped and often are very predictable in their payout patterns. Underwriter expenses should be much lower than for a traditional reinsurer.
Swan Re, Ltd and Swan Global Investments are separate entities.