Compre Group Holdings has completed the first annual renewal of its renewable loss portfolio transfer agreement with French insurer Wakam S.A. The renewed structure covers €126.5 million of net undiscounted reserves as of December 31, 2025. A further accident year has been added to the reinsurance coverage under the parties' annual framework.
Wakam operates a B2B2C embedded insurance platform across 30 countries. The Paris-headquartered insurer generated approximately €850 million in revenue in 2024, according to the original deal announcement. Ceding successive accident years to Compre keeps Wakam's balance sheet clean without disrupting its active underwriting. Traditional run-off solutions do not accommodate that constraint well, because they typically require a cedant to exit a line entirely.
"Renewing with Compre turns a transaction into a partnership," said Catherine Charrier-Leflaive, Group CEO of Wakam. "Adding a further accident year under the annual framework keeps our balance sheet clean and our capital and teams focused on what matters most: scaling our Play & Plug platform for our distribution partners across Europe."
Will Bridger, CEO of Compre, added that the renewal demonstrated the flexibility of the structure. "The addition of a further accident year under our annual renewal framework demonstrates the value of the partnership we have built with Wakam," he said.
The renewal is consistent with a wider repositioning at Compre. According to the group's 2025 annual report, two thirds of its reinsurance transactions in that year carried a recurring or prospective feature. Compre explicitly linked that shift to demand from insurers for balance sheet solutions that provide ongoing capital relief rather than one-off finality.
AM Best observed a parallel trend across the sector in a January report, noting that run-off specialists are increasingly acting as strategic capital partners for cedants seeking capital optimisation rather than simply disposal of problem books. The rating agency cited growing cedant appetite for customised structures aligned to capital objectives rather than operational exit.
Whether the renewable LPT attracts broader market adoption depends on factors a single transaction cannot resolve - cedant appetite for ongoing transfers rather than clean exits, pricing consistency across successive years, and regulatory treatment of the recurring mechanism across jurisdictions. Those questions remain open. What the Wakam renewal establishes is that the structure works more than once.
Compre's original €140 million loss portfolio transfer with Wakam, announced in December 2025, included the forward-flow feature that made this renewal possible.
Legacy reinsurance transactions are typically designed for finality, rather than repetition. The Compre-Wakam arrangement differs. The original deal, completed in December 2025 and covering approximately €140 million of UK and French motor and property reserves, included a forward-flow mechanism allowing Compre to reinsure subsequent years. The renewal now being announced is that mechanism being exercised for the first time.
The reduction in reserve volume from €140 million to €126.5 million between the two iterations reflects the underlying book maturing rather than growing. That is a normal pattern for a cedant still writing new business while ceding prior-year exposures on an annual cycle.
The question the structure raises is whether an annually renewable LPT can function as a standing capital management tool. That would place it alongside treaty reinsurance in a cedant's programme, rather than being used only in distress or exit scenarios.
