Argo Group launches sidecar to write insurance, reinsurance

Argo Group International Holdings Ltd. has established a sidecar for the 2013 year that will write reinsurance and insurance business.

The sidecar, Harambee Re 2013-1 Ltd., is the first established by Hamilton, Bermuda-based Argo and will provide about 5% of premium volume for property portfolios of two of Argo’s core businesses: reinsurance operation Argo Re, and excess and surplus lines company Colony Specialty.

“Harambee Re enables us to grow the size of two of our core businesses without adding materially to the group’s exposure to the volatility associated with U.S. earthquakes and hurricanes,” said Mark E. Watson III, president and CEO of Argo, in a statement.