Wednesday, 26 October 2016
Last updated 2 hours ago
Mar 24 2014 | 2:15pm ET
Insurance provider Apsley Specialty has joined forces with international reinsurer PartnerRe to launch an underwriting service for hedge funds seeking to comply with new European regulations.
Recent changes to the Alternative Investment Fund Managers Directive require the majority of hedge fund managers to have liability risk insurance in place by July 22, 2014. Alternative fund managers are expected to comply with the rules by holding the appropriate “additional own funds” or “professional indemnity insurance” to cover potential risks created from professional negligence.
James Lawrie, executive director of the new business, has more than 10 years experience in the industry, including time at Towers Watson and Caliburn Capital Partners. Lawrie has a detailed knowledge of both sides of a very specialist insurance and hedge funds industry, having earlier spent five years in the financial institutions insurance market.
Said Lawrie in a statement: “These changes to the AIFMD will bring about new challenges and opportunities for the hedge fund industry. It’s a major development for fund managers as they’ll need to make sure they comply with the new regulations and our solution will allow them to do this. “
Apsley is an underwriting agency focused solely on the asset management sector. PartnerRe will be a capacity provider for the project.