Ariel Re, a global reinsurer with offices in Bermuda, London and Hong Kong, announced it has received “in principle” approval from Lloyd’s to launch a new syndicate.
Starting in 2026, Ariel Re will be separating its Lloyd’s business into two syndicates: its existing Syndicate 1910, and the newly formed Syndicate 2006.
Ariel Re was formed 20 years ago this year, and the new syndicate’s number is in recognition of the fact that 2006 was the first year of business for the company.
The new syndicate will have a balanced portfolio of property catastrophe; other property; marine and specialty; cyber; and clean energy business (trading as Ariel Green).
From 2026, Syndicate 1910 will only underwrite property catastrophe reinsurance, aligning to its ILS peer group in Bermuda, but with advantages of being a rated Lloyd’s carrier.
Ariel Re plans to begin quoting on behalf of Syndicate 2006 on Dec. 1, 2025, for binding effective Jan. 1, 2026.
“We are excited to expand our presence in the Lloyd’s market with the launch of Syndicate 2006,” said Ariel Re Managing Agency Managing Director Darren Lednor, in a statement.
“Lloyd’s is fundamental to our strategy, and with this new syndicate, we are seeking to better appeal to the demands of our target capital base by offering differentiated investment products,” he added.
“We are seeing strong interest from existing as well as potential new investors, and we expect Syndicate 2006 to be accretive to Ariel Re in 2026, and as the syndicate grows in 2027 and beyond.”
“It’s starting to get some traction. We’re seeing more and more requests for quotes, and more people buying coverage,” said Chad LaTour, managing partner at Flood Risk Solutions, a managing general agent and insurance brokerage based in St. Petersburg, Florida.
Parametric insurance, which generally pays a predetermined amount when a weather or loss event reaches a trigger point, has been gaining in popularity in Florida since repeated storms slammed parts of the state in the last three years.
And the coverage instrument could soon get a big boost from changes in the federal government.
With recent White House talk of dissolving or slashing the reach of the Federal Emergency Management Agency and the National Flood Insurance Program, members of President Donald Trump’s newly established FEMA Review Council have floated the idea of counties and cities nationwide turning to some type of parametric coverage instead of relying on government disaster relief after floods.