Axon Underwriting Services LLC, the Somerville, N.J.-based specialty lines program administrator, announced the formation of Axon Re to offer its cargo and stock throughput reinsurance program within the Latin American region.
Axon Re will provide facultative and treaty reinsurance cover for cargo and stock throughput exposure, as well as for property and environmental lines for Latin American-based risks.
Axon Underwriting Services said it has secured financial backing for Axon Re through Asian partners to provide available capacity of up to $10 million.
Stock throughput coverage provides worldwide, cradle to grave, protection for an insured’s stock while in transit and in storage, eliminating gaps that exist in cargo and property programs, explained a company representative. Coverage is written on a comprehensive policy form with tailored terms and conditions, covering a broad spectrum of commodities.
Axon Re initially will offer the cover in Chile, Panama and Ecuador, with plans to extend to other countries within the region in the upcoming year.
Expansion of coverage for Latin American specialty lines builds upon Axon’s current stock throughput and STAPLE (or Stock Throughput and Pollution Liability Exposure) programs, which are offered in the U.S. with Navigators Insurance and Lloyd’s of London.
“The timing of the launch of this program is ideal given the current market restrictions for cargo and stock throughput reinsurance cover within the Latin American region,” stated Randy Hampton, executive vice president and partner.
“Axon Re’s ability to deliver much-needed capacity to specialty risks in target markets further broadens Axon Underwriting Services’ international footprint,” he added.
“After five years of strengthening our specialty underwriting platform, the move into Latin America with new, available capacity reflects our thoughtful, strategic approach to meet the coverage needs of underserved markets,” commented Doug Gahagan, executive vice president and partner at Axon Underwriting.
Axon Underwriting Services LLC was established in 2013 to provide comprehensive, insurance-based programs and solutions for program partners.