About
Newpoint Reinsurance
Newpoint Reinsurance Company Limited, (NPRE) is a licensed (Re)Insurance Company on the Island of Nevis (Isles & Federation of Saint Kitts & Nevis). It is regulated and approved by the Nevis Financial Services Regulation & Supervision Department, Office of the Registrar of International of Insurance, Financial Services Regulatory Commission, Nevis. NPRE’s Regulatory Registration License Number is No (C46027).
In Nevis, we find that English Law, good local educational standards and a strong approach to KYC and AML are important positives for running a modern (re)insurance company.
One of the main attractions of the Nevis jurisdiction is that the Regulator is both accessible and responsive. The Regulator understands that the key component of modern governance is NPRE’s qualified and experienced international Team. The Team continually aims to adopt and even improve on best international practices by creating well integrated and communicative components within its organisation.
Furthermore, the approach to capital adequacy is an example. In many jurisdictions, capital requirements are determined by reference to generalized capital risk models that may not accurately capture the insurance risk profiles of individual companies. This can lead to considerable over capitalization and occasionally undercapitalization. NPRE is developing an innovative approach to aligning risk underwriting and actuarial functions so that risk capital prudence is maintained more effectively. Presently, we calculate Solvency strength with reference to the standard European Regulatory Model and AM Best’s rating model. In particular, we adopt the European forward-looking approach of assessing Solvency strength known as ORSA (Own Risk Self Assessment). We aim to maintain a minimum strong Solvency Capital Ratio of 150% under best estimate scenarios and 130% under stressed scenarios.
Business Plan and Capital Management
- NPRE has grown business from a gross premium income of circa USD20m in 2019 to a premium income of circa USD250m at the end of 2023
- Balance Sheet base in excess of USD500m at the end of 2023 and growing
- Annual surpluses and dividends are reinvested back into NPRE and NOT distributed to its parent but to support the long-term strength of NPRE
- NPRE’s parent is fully supportive to the sustainability and success of NPRE over the long-term
- Risk appetite is based around understanding risk taken and supporting “risk managed” business
Innovation
1. Processes, workflow, and capabilities
Duplicable risk-managed approach enables NPRE’s objective of predictable performance
2. Product Management
Scalability across niche products – the risk-managed approach and retention of risk allow both consistent performance and enough capacity to scale
3. Financial Structure
Innovative capital structure – more flexibility with cash; cost-effective way of deploying NPRE’s capital
Strategic Objectives
- Retain Risk – participate in risks, which are “Risk Managed”, writing retention & profit not margin
- Profit – grow retained earnings, reinvest, strengthen balance sheet & underwriting surplus
- Alignment – Ensure we have alignment with our Partners & ultimately our (re)insurers to deliver a mutual benefit
- Stay independent, keep to our principles – we are not market led & not driven by revenue
- Engage with customers to find sustainable solutions & remain relevant
- Stay efficient and nimble – make use of group insourcing
- Our internal solvency model is based on best practise equivalence EIOPA SCR at 150%