Further signs of stability in the builders indemnity market have emerged, after a large insurer reached a reinsurance deal with the Western Australian Government.
The WA Department of Commerce has provided a 100% quota share reinsurance arrangement to Calliden, allowing the insurer to continue to provide builders indemnity under their existing underwriting polices.
Calliden Group CEO Nick Kirk says they are pleased to be able to offer continued support to brokers in WA.
“We will work to ensure a seamless transition for all parties including homeowners, builders and insurance intermediaries,” he says.
“This arrangement reinforces our ability to deliver risk management and administration services in relation to Home Indemnity Insurance, and enables us to expand both our risk appetite and distribution partner network.”
Calliden reached a similar agreement with the South Australian Government earlier this year but is set to pull out of the Victorian market by the end of the year, leaving QBE as the sole provider through a state-run facility.