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BRIEF-Amtrust Financial partners with Premia Holdings on reinsurance agreement
July 6, 2017 / 8:40 PM / in 5 months

BRIEF-Amtrust Financial partners with Premia Holdings on reinsurance agreement

July 6 (Reuters) - Amtrust Financial Services Inc

* Amtrust Financial Services, Inc. Partners with premia holdings ltd. On reinsurance agreement

* Amtrust Financial Services Inc - entered into agreement for a loss development cover with premia reinsurance ltd., a subsidiary of premia holdings ltd.

* Amtrust Financial Services - deal provides up to $400 million of reinsurance for adverse net loss reserve development in excess of co stated net loss reserves as of march 31, 2017

* Amtrust Financial Services Inc - agreement will be accounted for in amtrust’s q2 2017 financial statements as a retroactive reinsurance agreement

* Amtrust Financial Services Inc - agreement will result in a one-time, non-operating pre-tax charge to net income of approximately $61 million

* Amtrust Financial Services Inc - on an after-tax basis, charge will be approximately $39 million, or $0.22 per common share

* Amtrust Financial Services - consideration paid to premia will be placed into collateral trust account as security for premia’s claim payment obligations to co

* Amtrust Financial Services Inc - amtrust will retain sole authority to handle and resolve claims

* Amtrust Financial Services Inc - consideration for agreement is a payment of approximately $675 million Source text for Eikon: Further company coverage:

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