European alternatives manager Arrow Global has launched an insurance arm focused on the specialty market, diverging from the broader trend of managers entering the life arena.
The €125bn (£108.2bn) manager has launched Arrow Global Insurance (AGI), an extension of its investment platform which currently focuses on private credit and real estate.
The platform will focus exclusively on specialist, non-catastrophe insurance lines where outcomes depend on analysis, risk assessment and capital allocation.
Specialty insurance is designed to cover unique, high-risk or unusual situations that typically standard insurance policies don’t cover.
Unlike other managers entering the insurance space, Arrow has opted not to operate in the climate, life or consumer insurance markets.
This comes as a broader trend has emerged of alternative asset managers acquiring insurance companies or securing investment mandates, particularly in the life segment of the market.
Speaking to Alternative Credit Investor, Dan Adams, managing director and head of insurance at Arrow, said specialty insurance is not something investors can easily access, and currently a gap in the market.
“We see the opportunity in the specialty insurance market that is bought for a specialised need and usually requires an experienced underwriter who knows that sector and how to price and structure it appropriately,” he said.
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Adams said the move is an extension of Arrow’s existing activities, noting that the firm has been originating these types of risks for many years. The change in launching AGI is that we now have the dedicated in-house infrastructure to offer to investors.
The initiative is not an “asset management play” but a natural extension of the business, he added.
“AGI is an exact analogy of how the rest of our business is structured,” Adams said. “We see a very similar market structure to what Arrow sees in its credit business, for example, European, locally oriented domestic markets where underwriting margins are quite high but tend to be sub-scale and individually quite small. Also, something that is not easy for investors to access.”
However, he noted that the specialty insurance segment is a relatively small and niche part of the wider insurance market.
“These are small markets, which tend to have good margins,” Adams said. “There are not many specialty insurance companies out there.”
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The manager explains that the infrastructure behind the new platform is a specialist underwriting business to identify the risks called Toremis Specialty, part of Legatus Group, which Arrow built in 2024.
Toremis’ insurance capacity is supported by reinsurer Halldora Re, founded in 2025 by Arrow and capitalised by institutional investors and funds managed by the manager. Halldora Re has been given a financial strength rating of A-, the firm said.
The launch of AGI also comes as the firm reported its full-year results, raising €5.9bn of new commitments across its real estate and credit platforms during 2025. Alongside this, its funds under management increased to €15.2bn within the year.
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