New Gibraltan-based insurer Evolution Insurance Services is aiming to write £15m of liability business by 30 June 2004.
Evolution, which is owned by Zenith owners Patrick Tilley, John O'Shea, Tony Evans and Ken Acott, began writing business in the UK and the Republic of Ireland on 1 August 2003. Tilley said to date Evolution has been writing employers' liability (EL) and public liability (PL) business but it also plans to write property business.
"We saw an opportunity as capacity came out of EL and PL," Tilley said.
The business operates using a different model from motor insurer Zenith. Tilley said that rather than retaining the risk itself, Evolution passes on the risk through quota-share deals with several A-rated reinsurers, who he declined to name.
"Zenith is all about risk retention so it's a different model," Tilley said. "We're fronting opportunities, we don't retain the risk ourselves."
He said Evolution's route to market is through managing general agents who have relationships with brokers. He said Evolution's day-to-day transactional service is run by captive management specialists Aon Insurance Managers.