Within the insurance sector providing finance and giving security has always proved complex as both underwriters and brokers are constantly looking to grow and develop. Being able to raise the right amount of capital and structure their finances as efficiently as possible are critical to their success, and regulation by the FSA has added another layer of complication.
Borrowers in the insurance sector tend to have limited fixed assets available to provide as security. It is therefore crucial to understand what security can be taken, the value and enforceability of that security, and for lenders to be comfortable with the predominantly intangible nature of that security. Understanding the nature of the borrowers market and its regulation is vitally important which is where Clyde & Co's finance team are able to assist.
Clyde & Co’s roots are deeply buried in insurance and reinsurance, with over 160 partners working solely on insurance-related matters throughout our 33 international offices. We are one of the leading advisers to the industry with a deep understanding of the issues facing clients within the industry sector.
In today’s increasingly complex financial markets, our dedicated banking and finance practice is well placed to advise both borrowers and lenders on the issues that surround the re/insurance industry. Undertaking a measure of due diligence as well as understanding the impact of the proposed financing and the strength of the security to be given or obtained is vital to a successful lending. Clyde & Co has a unique perspective on this and is therefore able to ensure that the expectations of both lenders and borrowers are met on each transaction.
We cover all aspects of financing using a mixture of sources including senior bank debt, mezzanine finance, bridge financing, equity investment and forms of regulatory capital including subordinated debt. Working as one team with our international colleagues in both developed and emerging markets, we regularly advise on cross-border multi-million pound transactions where the issues are complex and varied and the structuring is crucial.
Our wide ranging expertise includes the following areas:
- FAL Letters of Credits into Lloyd’s
- Leveraged/acquisition finance
- Debt restructuring and insurance related work outs
- Asset backed finance
- Emerging markets and structured financing
- Islamic finance
- General corporate lending
- Regulatory capital
Our client base extends across the financial and insurance sector including insurance brokers, insurers, underwriting agents as well as banks, building societies, finance boutiques, capital providers, export credit agencies and asset managers.