Amerinst Insurance Group Ltd
AmerInst Insurance Group, Ltd., a Bermuda holding company, was formed in 1998.
Our mission is to be a company that provides insurance protection for professional
service firms and engages in investment activities. AmerInst has two operating
segments: (1) reinsurance activity, which includes investments and other related
activities, and (2) insurance activity, which offers professional liability
solutions to professional service firms.
On September 25, 2009, APSL entered into an agency agreement (the “Agency
Agreement”) with The North River Insurance Company, United States Fire
Insurance Company, Crum & Forster Indemnity Company, Crum and Forster Insurance
Company, and Crum & Forster Specialty Insurance Company (collectively, “C&F”)
pursuant to which C&F appointed APSL as its exclusive agent for the purposes
of soliciting, underwriting, quoting, binding, issuing, cancelling, non-renewing
and endorsing accountants’ professional liability and lawyers’ professional
liability insurance coverage in all 50 states of the United States and the District
of Columbia. The initial term of the Agency Agreement was for four years with
automatic one-year renewals thereafter. The Agency Agreement automatically renewed
on September 25, 2015.
We conduct our reinsurance business through AMIC Ltd., our subsidiary, which
is a registered insurer in Bermuda. On September 25, 2009, AMIC Ltd. entered
into a professional liability quota share agreement with C&F (the “Reinsurance
Agreement”) pursuant to which C&F agreed to cede, and AMIC Ltd. agreed
to accept as reinsurance, a 50% quota share of C&F’s liability under
insurance written by APSL on behalf of C&F and classified by C&F as
accountants’ professional liability and lawyers’ professional liability,
subject to AMIC Ltd.’s surplus limitations. The term of the Reinsurance
Agreement is continuous and may be terminated by either party upon at least
120 days’ prior written notice.
Historically, the primary business activity of our wholly owned insurance subsidiary,
AMIC Ltd., had been to act as a reinsurer of professional liability insurance
policies that were issued under the Professional Liability Insurance Plan sponsored
by the American Institute of Certified Public Accountants (“AICPA”).
The AICPA plan offers professional liability coverage to accounting firms and
individual CPAs in all 50 states.
Our reinsurance activity depends upon agreements with outside parties. AMIG,
our predecessor entity, began our reinsurance relationship with CNA Financial
Corporation (“CNA”) in 1993.