NormanMax gets ‘in principle’ approval for parametric Syndicate 3939 at Lloyd’s

NormanMax Insurance Holdings, the US based parametric insurance and reinsurance group launched by New Paradigm co-founder Bradley Meier, is on-track to launch a dedicated parametric syndicate at Lloyd’s.

The company has now received in principle approval from Lloyd’s to launch the parametric risk transfer syndicate in 2024, with Apollo Syndicate Management Ltd set to manage syndicate 3939 for NormanMax.

April 2024 is the target date to begin underwriting, with a focus on natural catastrophe parametric insurance and reinsurance products.

These offer “a unique and innovative business opportunity to the Lloyd’s market,” the company believes and it promises to “combine 21st century data and technology to create parametric solutions for global clients who are underserved by traditional (re)insurance products, at a time of increased climate risk and volatility.”

Bradley Meier, CEO of NormanMax explained “We are thrilled at the opportunity to assist clients globally with parametric (re)insurance solutions and bring this business into Lloyd’s. It is my belief that we are only at the beginning of the global parametric insurance revolution, and we are pleased to be partnering with Apollo on this exciting journey. The ability to provide worldwide access to parametric insurance solutions that utilize both public and proprietary data via Syndicate 3939 is a great first step in the mainstream adoption of parametric products.

“NormanMax syndicate 3939 will be distributing its products globally, including in many underserved markets that traditionally lack a broad spectrum of insurance solutions. We are excited to be able to begin the process of serving these markets via the reach and financial security of the Lloyds Market.”

Andrew Gray, Apollo’s Director of Strategic Partner Syndicates added, “We are incredibly excited to be partnering with NormanMax to support the delivery of their parametric strategy at Lloyd’s. Their innovative new parametric products can support closing the insurance protection gap for customers all over the world, providing piece of mind and speed of claims payment.

“Apollo’s track record of building successful and innovative businesses at Lloyd’s makes us the perfect long-term partner for organisations like NormanMax who are looking to benefit from the strengths of the Lloyd’s market whilst leveraging Apollo’s innovative and partnership mindset.

“We continue to strengthen and expand our offering of Strategic Partner Syndicates, providing greater opportunities for our partners, clients, and capital providers. We look forward to an exciting relationship with NormanMax and a successful 2024.”

Meier was the founder Chairman and CEO of both Universal Insurance Holdings and Universal Property and Casualty Insurance Company as well as Co-Founder of New Paradigm Group, the parametric underwriting specialist MGA.

GC Securities has acted as financial advisor to NormanMax for the setup of this parametric Lloyd’s syndicate.