Roosevelt Road’s Tradesman MGA removes and replaces Vesttoo-linked reinsurance cover

Roosevelt Road Capital Partners’ (RRCP) specialist managing general agent (MGA), Tradesman Program Managers, has removed both Vesttoo and Corinthian from the panels reinsuring its programs fronted by Clear Blue, and has secured replacement reinsurance cover.

In a statement sent to its brokers, the company noted that numerous reinsurers were eager to replace Vesttoo and Corinthian on these reinsurance panels, which provide protection via a Clear Blue fronting arrangement with the insurtech.

In fact, Roosevelt Road Re, its own reinsurance entity, is included in the revised panel of what the company describes as “sophisticated, reliable and trustworthy reinsurers.”

“The RRCP leadership are excited by this recent development, and as stated last week, Every market faces dislocation at some point and therein lies great opportunity,” said the firm.

As the investigation into alleged fraudulent LOCs continues, Tradesman Program Managers stressed that “We all have a vested interest in finding a timely resolution to this matter while seeking answers from the appropriate, ongoing investigations and audits.

“Speculation without action is easy and, often, unproductive. At Roosevelt Road Capital Partners (RRCP), we chose action.”

The company also highlighted how the market rallied “to assist Clear Blue in a crisis not of its making.” Adding that the “professionalism and pride demonstrated in this collaboration speaks well of those working with integrity in our industry.”

Tradesman Program Managers also reiterated that it does not transact directly, nor has direct exposure to either Vesttoo or Corinthian. Underlining that Clear Blue remains its AM Best ‘A-‘ rated fronting partner as part of a wider panel of ‘A-‘ capacity providers.

“TPM takes seriously our obligation to conduct thorough counterparty due diligence to protect our clients, policyholders and distribution channels, both domestic and international. Our spectrum of counterparties include internationally renowned brands and those who seek to transact, consult or service their clients in a reputable and legal manner,” reads the communication sent to brokers.

Leadership at Tradesman Program Managers also explained that it continues to grow its portfolio and maintain relationships with both clients and distribution channels.

Providing an update for the third quarter, the company states that to employ its strategy of continued focus on the needs of its clients and the opportunities present in the re/insurance market, it will continue to diversify its offerings.

“Diversification is key to both clients requesting more insurance solutions to grow their businesses and for TPM to grow our portfolio,” said the firm.