Credit or non-payment insurance (NPI) provides for the transfer of credit risk through an insurance contract. The insurance is unrated and unfunded and covers loss following a payment default. The risk is diversifying and has experienced low realized losses since the Global Financial Crisis (GFC).
Although large, the market for credit insurance is inefficient, making it difficult for (re)insurers to access desired exposures in a cost effective manner.
LimitFi addresses these market deficiencies with an end-to-end solution to manage credit liabilities for our panel.
We seek low-loss, conservatively structured risk where there is not an optimal private capital or capital markets solution. The majority of our exposure will be equivalent to what would be an investment grade rating.
We are asset class and ratings agnostic, targeting product segments that are scalable and repeatable and best leverage our tech-enabled approach.
Our risk is sourced through deep relationships with banks, specialty lenders, asset managers, insurers and traditional broker channels.
We facilitate the ENTIRE process, leveraging technology and partnering with (re)insurers to provide attractive risk adjusted returns and more diversified exposures, while minimizing internal overhead for enhanced profitability.
We underwrite a wide variety of transactions including both unfunded and funded risk. We focus on underlying exposure in the USA and Europe in the following product segments:
SPVs and Fund Level Financing: Sponsor, GP and LP solutions for private equity, private credit, real estate or other similar funds.
Securitization-Like Portfolios: Asset-based financings that resemble a securitization, but do not have an efficient capital markets solution. Asset classes may include consumer, corporate, SME, insurance-linked, equipment, real estate and/or other esoterics.
Bank / Corporate Portfolios: Risk-based capital or exposure relief transactions relating to a specific portfolio of loans or assets.
Single Name Exposure: Corporate, consumer, asset-backed, project finance and/or real estate.