Peak Re North America secures A-minus rating and launches to focus on casualty

By Michael Loney

May 28 - (The Insurer) - Peak Reinsurance North America has been launched to focus on casualty, with AM Best assigning the Bermuda-based subsidiary of Hong Kong-based reinsurer Peak Re a financial strength rating of A-minus (excellent) and a long-term issuer credit rating of a-minus.

Peak Re announced on Wednesday that Peak Re NA is led by Gene Zhang as CEO. Zhang has been with the company for nine years.

“With his leadership, Peak Re NA will focus on underwriting casualty reinsurance, leveraging Peak Re’s global expertise and resources to effectively meet the specific needs of North American clients,” the reinsurer said.

Franz-Josef Hahn, group CEO of Peak Re, added: "The launch of Peak Re North America is a significant step in our group’s global growth strategy. This new entity allows us to better serve our clients in North America while reinforcing our position as a global reinsurer."

The ratings reflect Peak Re NA’s inclusion as a member of lead rating unit Peak Re, which on a consolidated basis has a balance sheet strength that AM Best assesses as very strong.

The ratings also factor in the neutral impact from ultimate parent Fosun International Holdings.

Peak Re NA is domiciled in Bermuda and is licensed as a Class 3B insurer effective 18 February 2025.

AM Best said that Peak Re NA will mainly underwrite U.S. motor and casualty reinsurance business, which was previously underwritten by Peak Capital Ltd, a Bermuda-based managing general agent and insurance-linked securities investment specialist wholly owned by Peak Re.

“AM Best expects Peak Re NA to operate with a high degree of integration with Peak Re, including capital and retrocession support, as well as the sharing of branding and core operational functions, such as underwriting, pricing, marketing, reserving, investment and risk management,” the rating agency said.

The ratings have a stable outlook.