International insurer/reinsurer Brit Insurance has set up its own office in Sydney to replace the agency arrangement it has had with Australian Reinsurance Underwriting Services (ARUS) since 2004.

Brit says the new office, headed by Mike Davidson as MD, will focus initially on reinsurance.

Mr Davidson was with local operation ARUS since it was launched by former Gerling Global Re Australia CEO John Bubb six years ago to represent Brit in Australia and New Zealand.

Gerling Re was put into run-off in 2002 amid the financial turmoil that followed the September 11 2001 terrorist attacks. Its Australian business was bought by Assetinsure in 2003.

Mr Bubb told insuranceNEWS.com.au the split with Brit was completely without animosity and he initiated it for the purpose of enjoying “one more challenge”.

On April 1, ARUS will become the sole representative for Liberty Syndicates in Australia, working solely in reinsurance.

“We aim to develop a good solid book and go from there, perhaps in a slightly bigger way than we have in the past,” Mr Bubb said.

Brit Insurance CEO Jonathan Turner says Mr Davidson’s excellent knowledge of the Australian and NZ markets will allow Brit to further develop meaningful local relationships with key brokers and clients in the region.