American Global Insurance has agreed a quota share reinsurance arrangement with two corporately owned Lloyd’s syndicates. The deal covers healthcare indemnity insurance business written by American Global Insurance, Inc., the group’s main insurance subsidiary.
Under the agreement, the Lloyd’s syndicates will assume 50% of premiums and claims tied to AGII’s medical health indemnity insurance portfolio.
The structure gives AGII additional reinsurance capacity for its healthcare programmes.
AGII operates as a commercial insurer and reinsurer under the sovereign jurisdiction of the federally recognised Modoc Nation in Oklahoma. The American Global Group provides risk management, insurance, and reinsurance services.
AGII specialises in supplemental wellness and healthcare indemnity programmes for small and mid-sized employers. The company said the Lloyd’s-backed arrangement supports its ability to manage risk exposure while continuing to serve employer groups seeking alternative healthcare coverage.
A spokesperson for American Global Group said the agreement reflects confidence in AGII’s underwriting platform and healthcare indemnity programmes.
The spokesperson said the partnership strengthens the company’s risk management position.
American Global said several AGII insurance products are structured to fit the Employee Retirement Income Security Act of 1974 and relevant Internal Revenue Code rules. These programmes are designed to support employer-sponsored healthcare arrangements under existing federal regulatory frameworks.
AGII has also developed healthcare plans for possible future use in selected U.S. markets. The company said those plans could serve as alternatives to Affordable Care Act marketplace products.
The Commissioner of Insurance for the Modoc Nation said the arrangement is notable. The commissioner said AGII is believed to be the first tribal insurance company to establish a working relationship with Lloyd’s syndicates for this type of reinsurance support.
The commissioner said backing from one of the world’s most established insurance and reinsurance markets positions American Global Group to continue developing healthcare insurance solutions for employers.
