VHV

German mutual insurer VHV is under pressure to buy back a large part of the portfolio of the Switzerland’s Veritas Reinsurance Corporation (Veritas Re). The move comes five years after VHV sold Veritas Re to Californian investors and shows that the deal went terribly wrong. VHV’s problem is that if it does not buy, it might see Veritas Re’s motor quota share business go to an undesirable buyer – together with the reserves that this business carries on the reinsurer’s side.