Enstar agrees to adverse development cover transaction with Insurance Australia

Enstar Group Limited announced that one of its wholly owned subsidiaries has signed an adverse development cover agreement with Insurance Australia Limited, on behalf of Insurance Australia Group. Under the terms of the agreement Enstar will provide approximately the equivalent of $430M of excess cover over the equivalent of $1.7B of underlying reserves related to certain long-tail insurance business. This transaction includes Product & Public Liability, Compulsory Third-Party Motor, Professional Risks and Workers’ Compensation for losses incurred on or prior to June 30, 2023. Completion of the transaction is subject to regulatory approval and satisfaction of various closing conditions.