Major partnership launches earthquake insurance facility

Emerald Bay Risk Solutions has partnered with Arrowhead, a major general insurance agency in the United States, to launch a new commercial earthquake insurance facility called Arrowhead EQ DIC. This new initiative aims to provide difference in conditions (DIC) insurance policies specifically designed for medium to large businesses in earthquake-prone regions like California and the Pacific Northwest.

The Arrowhead EQ DIC facility will utilize over $250 million in capacity, made possible through long-term relationships with leading carrier partners and a focus on disciplined underwriting. The primary reinsurers supporting this facility are top-rated firms with an A- or better rating from AM Best.

Emerald Bay CEO Dave Ingrey expressed his excitement about partnering with Arrowhead for its inaugural program.

“Arrowhead is highly regarded in the industry for its superior underwriting standards and specialized E&S insurance capabilities. Together, we are proud to bring a novel solution focused on risk quality to the market that meets the growing need for capacity. This is the foundation of a meaningful relationship with natural synergies, and we are looking forward to our mutually valuable partnership with Arrowhead,” Ingrey said.

Likewise, Lewis Defuria, president of commercial earthquake at Arrowhead, noted that Emerald Bay’s collaborative underwriting and experience with top MGAs and reinsurers will help Arrowhead continue to innovate.

“This facility will combine our more than 25 years of experience supporting the wholesale market with Emerald Bay’s strong fundamental underwriting expertise to make it easier for market participants to access capacity for such a niche product,” Defuria said.

Emerald Bay launched in March 2024 with backing from Bain Capital Insurance to deliver tailored insurance solutions, consistent underwriting results, and long-term partnerships with select high-performing managing general agents (MGAs) and leading reinsurance partners. The company has established itself as a robust, well-capitalized risk management entity, boasting an AM Best Financial Strength Rating of A- (Excellent).