The Fidelis Partnership, the Bermuda-based managing general underwriter, announced that Lloyd’s has granted “in principle” approval for the launch of Syndicate 3123 in collaboration with Fidelis Insurance Holdings Ltd. and Hampden Agencies, the largest provider of private capital to Lloyd’s.

The sponsorship of Syndicate 3123 by The Fidelis Partnership marks the return of its Founder and Chief Executive Officer Richard Brindle to the Lloyd’s market after 26 years. (Effective March 28, the Fidelis MGU was rebranded as The Fidelis Partnership.)

Subject to the completion of final approval, the launch of Syndicate 3123 will represent a significant milestone in The Fidelis Partnership’s strategic expansion and reflects its continued alignment and strong collaborative relationship with the Fidelis Insurance Holdings (known also as Fidelis Insurance Group). The Fidelis Partnership is separately owned and managed from the ownership and management of Fidelis Insurance Group.

With an initial target to write $180 million of gross written premium (GWP) in the second half of 2024 and $450 million in 2025, Syndicate 3123 will underwrite across multiple insurance and reinsurance classes including contract frustration and political risk, credit, property catastrophe, political violence, marine, and aviation.

Daniel O’Connell will be appointed as the active underwriter of Syndicate 3123. O’Connell brings extensive specialty underwriting experience and is currently serving in the role of head of Bespoke for The Fidelis Partnership.

The syndicate will be managed at formation with support from Asta, the leading third-party managing agent at Lloyd’s.

“Our new syndicate will bring underwriting leadership, innovation, and flexibility. It will build on Lloyd’s position as the world’s leading insurance marketplace,” commented Brindle.

“Private capital remains highly relevant in insurance; we are therefore delighted to partner with Fidelis Insurance Group and also with Hampden Agencies, to bring this new capacity into the market,” Brindle added.

“This allows us to access more business and write risks on behalf of a broader range of clients in more jurisdictions leveraging Lloyd’s global licenses, recently upgraded financial strength rating and capital structure,” he said.

“We are proud to support the launch of Syndicate 3123. Our underwriting strategy is designed to facilitate consistent access to the most attractive risks. Syndicate 3123 further advances our strategy by creating new opportunities based on Lloyd’s extensive licenses and strong ratings,” according to Dan Burrows, CEO of Fidelis Insurance Group.

“Together with The Fidelis Partnership, we look forward to continuing to redefine the specialty insurance landscape and create value for our shareholders by proactively managing and allocating capital and supporting profitable underwriting opportunities,” Burrows continued.

Alistair Wood, Hampden Agencies CEO, commented: “Hampden Agencies is delighted to be involved in this new syndicate, which demonstrates the important role of private capital in the Lloyd’s market and our ability to access that capital with scale. This is a great opportunity for private investors to enjoy the returns from prudent and profitable underwriting.”

The Fidelis Partnership and Fidelis Insurance Group are being advised on the transaction by Asta and Willkie Farr & Gallagher (UK) LLP.