Appleby served as Bermuda counsel to Relm Insurance II Ltd. (Relm II) in connection with its incorporation and registration as an 'Innovative Insurer – General Business' (Class IIGB), pursuant to section 4 of the Insurance Act 1978.
Relm II is the world's first fully regulated collateralised reinsurance business accepting both fiat and crypto as collateral. It enables the creation of regulated reinsurance capacity for companies operating in the crypto space.
As a Class IIGB insurer, Relm II intends to continue to bring innovation to the insurance sector and enhance market availability in the space, utilising the effectiveness of Bermuda's regulatory markets.
In April 2020, Appleby Bermuda advised Relm in the launch of its operation to offer insurance cover for cryptocurrency and cannabis businesses.
Relm's core business provides professional lines business coverage relating to organisations offering "digital asset business activities", as defined in the Digital Asset Business Act 2018, and for risks arising from investing or trading in digital assets. The coverage encompasses directors' and officers' liability, professional liability, cyber liability and commercial crime. It has addressed one of the needs in the marketplace for innovative insurance in the fintech and blockchain space.