directFac is an underwriting management company appointed by a number of world class reinsurers to underwrite Facultative and Program business directly to our ceding company clients in North America. We believe this structure brings key advantages to our clients.

ABILITY TO PAY

directFac has established minimum financial strength criteria for risk capital partners. Minimum security ratings to participate on directFac's security panel are:

AM Best - A (Excellent)

S&P - A+ (Strong)

Fitch - AA- (Very Strong)

ROBUST CAPITAL - WILLINGNESS TO PAY

Through widely syndicating the risk capital we bring to bear on individual transactions, we reduce the client's exposure to any single reinsurer. This has a material value when dealing with significant individual losses as history has demonstrated that single reinsurers (regardless of their financial size) facing a large individual loss are more likely to resist or look to delay a claims settlement. At the last count, the total assets underpinning directFac's capacity totaled in excess of $900,000,000,000, and yet no single supporting market is exposed for more than $17.5m on any one risk underwritten by the company. In its years of operation, directFac has never been involved in a disputed claims situation.

CONTINUITY "ACROSS THE CYCLE"

In addition, the syndicating of capacity removes the need for any individual market to support their position with retrocessional reinsurance. The availability and pricing of retro over cycles will heavily influence how "retro dependent" markets operate - both in terms of their offering and as it relates to their claims handling approach. Syndication removes that volatility, and at times of market difficulty, the directFac offering has remained 100% consistent. By way of example, in the aftermath of KRW, directFac increased its capacity offering.

2017 Security detail is available to existing directFac clients under the Ceded Re login.