Annual Report

As we celebrate our seventeenth anniversary, we are proud to share the achievements of the professional team at Active Capital Reinsurance, Ltd.

First and foremost, I would like to express my sincere appreciation and gratitude to our Board of Directors, colleagues, and  especially the people of Active Re, located across various regions and time zones, whose support and trust have made it possible to celebrate another year marked by milestones that fill us with pride and reinforce our commitment to the motto: “One Team, One Vision, One Goal.”

Our company believes that investment in digitalization and innovation must remain a primary pillar. We apply advanced analytics- to underwriting and financial management processes, maintaining a disciplined approach toward our strategic objectives, with a focus on short-term and non-catastrophic risks.

As detailed in this report, during 2024 the company consolidated key achievements within its organic growth trajectory. Notably, we maintained our international credit rating of “A” from the prestigious agency AM Best and surpassed the $100 million capital mark.

In a global environment marked by increased volatility, macroeconomic uncertainty, geopolitical tensions, and a variety of emerging risks, our operational management successfully capitalized on market opportunities without compromising our strategic foundations.

In summary, we have completed another year of clear achievements that reaffirm our position as a trusted and responsible reinsurer for our clients and shareholders.

In 2024, Active Re achieved new milestones in its trajectory of sustained organic growth and diversification. Net Premiums grew by 15.6% to $223.8 million, and Retained Premiums increased by 17.2% to $148.9 million, outperforming the annual target and achieving historical records. Net Income reached $16.3 million, and the Return on Equity (ROE) of 17.3% was achieved through both technical profitability (8.7%) and a notable contribution from the Return on Investments (8.6%). Financial income ($8.1 million) nearly tripled compared to the previous year ($2.9 million), half of which was due to the investment portfolio revaluation.

These results enabled us to take fundamental strategic decisions that reinforce Active Re’s positioning as “The best ally for our client” and to deliver on our promise of “Benefits for All.”

Total Equity surpassed the Financial Size targeted of $100 million, showing a compound annual growth rate (CAGR) of 47% since inception and 20% annually since 2019. Robust capitalization and shareholders' decision to reinvest profits have increased our offered capacities and risk retention (67%) in a hard market environment, maintaining high levels of regulatory solvency and an "A" (Excellent) financial strength rating affirmed by AM Best this year.

The growth reported in recent years also supported the decision to strengthen reserves and adopt a new actuarial methodology for estimating IBNR reserves, which was certified in 2024. This was particularly relevant for our Property & Engineering (P&E) portfolio, which accounted for 65% of Net Premiums in 2024, reflecting an average annual growth of 29% since 2019 and 31% in 2024 alone. Such expansion enhanced our capacity to absorb attritional losses and mitigate the impact on clients from several catastrophic events during the year, including earthquakes in Asia and severe rainfall and flooding in the MENA region.