IHC, BlackRock And Lunate To Establish $10bn Reinsurance Company In Abu Dhabi

The new, yet-to-be-named platform will be headquartered in the Abu Dhabi Global Market (ADGM). It will provide critical underwriting capabilities, underpinned by AI technologies, to help accelerate the rapid growth in the Gulf region and support the continued evolution of regional capital markets.

AI-driven reinsurance platform launches

While BlackRock will provide a minority investment commitment to the venture after the signing of definitive documentation, the new company is targeting liabilities exceeding $10 billion and initial equity commitments are expected to surpass $1 billion. The buy-and-build strategy will also be bolstered by additional hybrid and debt financing.

BlackRock will also contribute insurance asset management, advisory, and its Aladdin technology capabilities to the initiative. Lunate will leverage its deep expertise in private and public markets and global, multi-asset investment experience to support the platform.

The platform will offer tailored solutions covering Property and Casualty (P&C), Life, and specialised insurance products. With its base in ADGM, it will operate across key international jurisdictions, creating a local platform capable of adapting to the diverse demands of the global market, while maintaining a strategic focus on the Middle East and Asia.

Syed Basar Shueb, CEO of IHC, commented: “This venture embodies IHC’s commitment to innovation and strategic growth. By leveraging our diversified portfolio and deep regional insights, we aim to redefine the insurance landscape, delivering sustainable value to our stakeholders and contributing to the economic prosperity of the region.”

Larry Fink, Chairman and CEO of BlackRock, added: “We are proud to collaborate with IHC and Lunate in this transformative endeavour to help accelerate the development of a more dynamic insurance, capital markets and financial ecosystem in Abu Dhabi and the broader region. We look forward to applying our asset management, advisory and technology capabilities to support its growth.”

Insurance is a critical ingredient to driving economic growth and investment. A strong, local, and purpose-built reinsurance platform will harness and deliver upon the opportunities presented by the growing financial ecosystem in the Gulf.

Dr Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology, GCEO and MD of ADNOC, will chair the new company. Mark Wilson, a seasoned industry expert and former CEO of Aviva and AIA Group, will be the CEO.

Dr Al Jaber commented: “We are excited to bridge global capital with regional opportunities in this fast-growing market to launch a value-accretive business with solid financial returns while shaping the future of insurance with cutting-edge technology.

“Supported by exceptional global partners in IHC, BlackRock and Lunate, the new company will bring deep expertise, a strong capital base, and AI-driven underwriting to enhance efficiency and precision. Furthermore, establishing the company in ADGM gives us access to a robust regulatory framework, a rapidly growing insurance market, and dynamic financial hub.”

CEO Wilson said: “Abu Dhabi stands at the nexus of a rapidly evolving landscape in capital markets and AI technology. With its AI-native foundation, robust capital backing, and exceptional strategic partners, the company is uniquely positioned to redefine the future of insurance.”