Triomphe Re, a special purpose Class 3 reinsurance company based in Bermuda, has been formed to reinsure business written by Paris Re and its affiliates.

Paris Re and Triomphe Re have entered into a quota share reinsurance agreement in which Paris Re will cede to Triomphe Re 24 percent of the property catastrophe excess-of-loss and risk excess-of-loss reinsurance business written by Paris Re for 2007 and 2008.

The quota share will be collateralized by a trust, that will include the total capitalization of Triomphe Re, as well as the ceded reinsurance premiums received from Paris Re. Triomphe Re was capitalized with approximately $185m. Peter Gerhardt, CEO of Paris Re, said: “Triomphe Re will provide Paris Re dedicated retrocessional capacity for the next two years, enhancing our ability to continue to provide catastrophe reinsurance protection to our clients. Triomphe Re's investors will participate in the attractive current market conditions while being fully aligned with Paris Re which is retaining over 50 percent of the subject business for its own account.”