Category: Insurance history · Reviewed by Amy Price, Account Executive · Last reviewed 2026-06-05
Equitas Reinsurance Limited is the run-off reinsurer established by Lloyd’s of London in 1996 as the principal vehicle of the Reconstruction and Renewal Plan. It accepted, by reinsurance to close, all pre-1993 liabilities of Lloyd’s syndicates and was acquired by Berkshire Hathaway’s National Indemnity Company in 2006.
Category: Insurance history Also known as: Equitas, Equitas Limited, Equitas Reinsurance Limited Established: 4 September 1996 Related concepts: Reconstruction and Renewal Plan Lloyd’s, Lloyd’s of London, Equitas (Batch 4)
Equitas Reinsurance Limited (Companies House 03173352) is a UK-authorised reinsurer established as the workout vehicle for Lloyd’s pre-1993 underwriting years. By reinsurance contracts entered into in 1996, it accepted from each Lloyd’s syndicate the liabilities of its open underwriting years prior to 1993, in exchange for cession of premium funded from Names’ contributions and Lloyd’s Central Fund. Equitas Insurance Limited was added as a related entity to facilitate certain US obligations.
Equitas was authorised by the Department of Trade and Industry (later HM Treasury, now PRA) as a UK reinsurer in 1996. The reinsurance contracts derived their binding effect from byelaws of the Council of Lloyd’s made under the Lloyd’s Act 1982 and from individual settlement deeds executed by Names. In 2006 the underlying liabilities were transferred to National Indemnity Company (Nebraska) under a Part VII insurance business transfer scheme sanctioned by the High Court under section 111 of the Financial Services and Markets Act 2000 (Re Equitas Ltd [2006] EWHC 2912 (Ch)). Equitas Limited remained in run-off as the formal contracting party but with the economic risk reinsured back-to-back to National Indemnity.
Since the 2006 transfer, claims arising from pre-1993 Lloyd’s policies are administered through the Equitas / Resolute Management Services platform and paid from reserves backed by Berkshire Hathaway’s balance sheet. National Indemnity provided $5.7 billion of reinsurance protection in addition to existing Equitas reserves of approximately $8.7 billion. As of recent published accounts, claims have been settled within the available reserves and the run-off continues in an orderly manner.
The Equitas structure has been imitated in subsequent insurance market workouts, including the Independent Insurance run-off and certain US asbestos commutations, though no other transaction has matched its scale or complexity.
A US asbestos personal injury claim filed in 2026 against an insured under a 1972 Lloyd’s policy is presented to the Equitas / Resolute administration; if accepted, settlement is funded from reserves held within the National Indemnity reinsurance arrangement. The contemporary Lloyd’s market — i.e., the post-1993 syndicates — is wholly insulated from the claim.
This entry is part of the Apex Insurance Wiki. Last reviewed by Matt Bartlett on 2026-06-05. Next review: 2026-12-05.
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