Sompo launches Bermuda life reinsurer

Sompo Holdings  has launched Sompo Life Re, a Bermuda-based subsidiary created to reinsure business from within the group.

The company received a reinsurance license from the Bermuda Monetary Authority and began operations with $250,000 in capital. Tetsuya Morito serves as CEO and executive director.

For its first transaction, Sompo Life Re assumed a portion of Sompo Himawari Life’s in-force medical insurance portfolio through a coinsurance arrangement. The transaction transfers the economic risk associated with the policies but does not change Sompo Himawari Life’s relationship with policyholders.

Sompo said the new reinsurer will help optimize capital allocation and improve capital efficiency across its domestic life insurance business.