Oxbridge Re Holdings Limited's Business Segments

We are a Cayman Islands exempted company that was organized in April 2013 to provide reinsurance business solutions primarily to property and casualty insurers in the Gulf Coast region of the United States. Through our licensed reinsurance subsidiary, Oxbridge Reinsurance Limited, we write fully collateralized policies to cover property losses from specified catastrophes. We specialize in underwriting medium frequency, high severity risks, where we believe sufficient data exists to analyze effectively the risk/return profile of reinsurance contracts.

Overview of Oxbridge Re Holdings Limited:

Oxbridge Re Holdings Limited primarily operates in the reinsurance sector, focusing on property, property catastrophe, and short-tail specialty and casualty reinsurance. The company is uniquely positioned to meet the reinsurance needs of insurance companies through its tailored treaty reinsurance solutions.

Segments:

1. Property Reinsurance:
- This segment underwrites risks associated with physical property damages resulting from various perils, such as fires, floods, and theft. The property reinsurance offerings enable primary insurers to manage their own risk exposures effectively, providing them with stability and financial protection.

2. Property Catastrophe Reinsurance:
- This segment specifically addresses catastrophic events that can lead to significant losses for insurers. The company covers perils like hurricanes, earthquakes, and severe storms. The protection is typically designed on an all riskbasis, safeguarding against direct property damages and subsequent losses from business interruptions.

3. Short-tail Specialty Reinsurance:
- Within this segment, Oxbridge Re may engage in underwriting specific types of risks that are often short in duration and where claims can be settled quickly, such as accident and health insurance or certain liability risks.

4. Casualty Reinsurance:
- This segment focuses on various liabilities that insurers may face, such as general liability, workers compensation, and auto liability. Through casualty reinsurance, the company provides financial protection against legal costs and settlements associated with insured events.

Products and Services:

1. Treaty Reinsurance Contracts:
- The majority of the company’s business is carried out under treaty reinsurance contracts, which are agreements between the reinsurer and the cedant (the primary insurer) covering a defined pool of risks rather than individual risks. The reinsurer relies on the underwriting practices of the cedant, conducting thorough risk assessments during contract negotiation and renewal.

2. Excess-of-Loss Contracts:
- Oxbridge Re’s contracts are predominantly written on an excess-of-loss basis. This means the reinsurer indemnifies the cedant against losses beyond a specified amount, providing protection for extraordinary claims. These contracts can be structured to manage large accumulations of risk and limit the exposure to significant loss events.

3. Fully Collateralized Reinsurance Contracts:
- In the context of its operations, Oxbridge Re structures each reinsurance agreement to be fully collateralized. This ensures that the liabilities under each contract are secured by trust-held assets, thus providing a level of security for cedants. The collateral is often held with a large bank, creating a trust that serves to back the reinsurance obligations.

4. Multi-year and Single-year Contracts:
- The reinsurance contracts can either span multiple years or be limited to a single year. Policy years typically run from June 1 to May 31 of the following year, providing flexibility for cedants depending on their financial and operational needs.

5. Catastrophe-linked Securities:
- Occasionally, Oxbridge Re may partake in catastrophe-linked bonds or other structured products like industry loss warranties and indemnity swaps. These products allow the company to transfer risk and manage exposure to catastrophic events effectively, involving agreements to exchange portfolios of different catastrophe exposures.

6. Risk Management Advisory:
- Beyond reinsurance products, Oxbridge Re provides insight and advisory services relating to risk management and underwriting practices. This is particularly beneficial for insurance companies looking to enhance their operations and mitigate potential losses through strategic coverage solutions.

Conclusion:

Overall, Oxbridge Re Holdings Limited is committed to offering a comprehensive range of reinsurance solutions aimed at providing financial protection and stability to insurance companies, while ensuring that all agreements are backed by adequate collateral. Through its rigorous evaluation of risk management practices and flexible contract structures, Oxbridge Re harnesses the potential of the reinsurance market, catering to varied needs across property and casualty lines.