alternative risk transfer market with Odyssey Re (Bermuda) and ACE Ltd. (see above story).

The subsidiary, Chubb Atlantic Reinsurance Specialists Ltd., will be dedicated to underwrite and market reinsurance to the 1,500 captives registered in Bermuda.

"The facility will provide access to excess of loss, quota share, aggregate stop loss, and fronting reinsurance,'' a press release stated. "In addition, it will consider non-traditional reinsurance. Chubb Atlantic Reinsurance Specialists will also entertain captive reinsurance business from other domiciles and facultative arrangements from other sources.'' Chubb Atlantic Indemnity president, Chris Longo, said the company was primarily a direct insurer but had been writing some reinsurance since it was set up in Bermuda five years ago.

"It is a reasonable part of our book of business,'' he told The Royal Gazette . "As it has grown we decided to put more focus on it.'' He said the company's underwriters will, for now, offer the services until it reaches a stage when some could be dedicated solely to the business.

"We feel a dedicated facility to service the Bermuda captive marketplace fills a unique gap in the worldwide reinsurance market,'' he said.

The new subsidiary will be a dedicated reinsurance facility designed to accept reinsurance of behalf of Chubb Atlantic. The facility will only accept business from Bermuda-based brokers and captive managers.

Chubb Atlantic is a wholly owned subsidiary of US-based property and casualty insurer Chubb Corp.