Company: OXBRW
Filing Date: 2025-03-26
Form Type: 10-K
Source: 0001641172-25-000736
Chunk: 412

Company: OXBRIDGE RE HOLDINGS Ltd
Filing Date: 2025-03-26
Form: 10-K
Item: Item 1A
Chunk 412
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 of emerging claim and coverage issues on our business is uncertain.

As
industry practices and legal, judicial and regulatory conditions change, unexpected issues related to claims and coverage may emerge.
It is possible that certain provisions of our future reinsurance contracts, such as limitations or exclusions from coverage or choice
of forum, may be difficult to enforce in the manner we intend, due to, among other things, disputes relating to coverage and choice of
legal forum. These issues may adversely affect our business by either extending coverage beyond the period that we intended or by increasing
the number or size of claims. In some instances, these changes may not manifest themselves until many years after we have issued insurance
or reinsurance contracts that are affected by these changes. As a result, we may not be able to ascertain the full extent of our liabilities
under our insurance or reinsurance contracts for many years following the issuance of our contracts. The effects of unforeseen development
or substantial government intervention could adversely impact our ability to adhere to our goals.

16

We
are required to maintain sufficient collateral accounts, which could significantly and negatively affect our ability to implement our
business strategy.

We
are not licensed or admitted as a reinsurer in any jurisdiction other than the Cayman Islands. Certain jurisdictions, including the United
States, do not permit insurance companies to take credit for reinsurance obtained from unlicensed or non-admitted insurers on their statutory
financial statements unless appropriate security measures are implemented. Consequently, we must continue to maintain sufficient funds
in escrow accounts to serve as collateral for our reinsurance contracts. Because we intend to continue to utilize our funds (rather than
utilizing the credit markets) to serve as collateral for our reinsurance obligations, we may not be able to fully utilize our capital
to expand our reinsurance coverage as rapidly as other reinsurers.

The
inability to obtain business provided from brokers could adversely affect our business strategy and results of operations.

We
anticipate that a substantial portion of our business will be placed primarily through brokered transactions, which involve a limited
number of reinsurance brokers. If we are unable to identify and grow the brokered business provided through one or more of these reinsurance
brokers, many of whom may not be familiar with our Cayman Islands jurisdiction, this failure could significantly and negatively affect
our business and results of operations.

The
involvement of reinsurance brokers may subject us to their credit risk.

As
a standard practice of the reinsurance industry, reinsurers frequently pay