This interview was originally published in Spanish in Actualidad Aseguradora
An interview with Carmen Cobeta, Head of Casualty, Iberia and Irene Fernandez Franic, Senior Underwriter for Actualidad Aseguradora – Inese
It has already been a year since your appointments. What is the overall assessment of these first twelve months in charge of Arch’s liability business in Spain? Have the set goals been met?
Carmen Cobeta: It has been a very dynamic and rewarding first year for both of us. We are very pleased with what has been accomplished within such a relatively short period, having exceeded our initial expectations both on a professional and personal level.
Having launched Arch’s Casualty operations in a competitive Spanish market, we’re proud to have successfully met our objectives, both in terms of premium underwriting targets and perhaps more importantly in establishing strong, collaborative relationships with our broker partners, whose support has been instrumental throughout the past 12 months.
Irene Fernandez Franic: Building the business from the ground up meant we had to quickly develop several key foundations, including policy wordings, quotation and rating models. Achieving this in such a compressed timeframe is a testament to the team’s commitment and expertise.
We’re delighted with the pace of our progress so far and the solid platform we have created. We believe we are well positioned for continued growth and success.
What have you learned about the market, customers, and Arch’s own structure during this period that you did not anticipate at the beginning?
IFF: Over the course of the year, we have experienced a highly competitive market environment that has seen rates continue to come under pressure. While such conditions inevitably present challenges, they also create opportunities for a company like Arch. Our strength lies in our disciplined underwriting approach across all market cycles, which enables us to provide our brokers with stability and consistency throughout any market fluctuations. Having a clearly defined market proposition, supported by the depth and quality of our underwriting expertise, has proven to be a key differentiator.
CC: I would add that one of the key factors in our success has been the value of having the opportunity to develop proprietary policy wordings. This has allowed us to establish ourselves as a lead market from the outset, setting terms early and positioning ourselves competitively within our target segments.
What new developments, products, or technical enhancements has Arch recently introduced in the liability business in Spain?
CC: What we bring to the market that sets us apart from our competitors is our highly specialised approach, which is focused on complex risks that require detailed, technical underwriting. This represents a clear differentiator for Arch, allowing us to address exposures that are may be underserved or declined by other insurers. As a result, we are increasingly recognised as a go-to market for technically challenging and non-standard risks.
This approach builds on the Arch Capital Group’s longstanding expertise in long-tail lines where we believe we can deliver meaningful added value for our brokers. Arch has developed a strong track record in mature markets such as the US and the London Market, making the launch of a tailored casualty offering for the Iberian market a natural extension of these capabilities.
Our proposition is further strengthened by significant underwriting autonomy, strong capacity, and the financial strength of the wider Arch Capital Group, enabling us to respond with agility and confidence to evolving client needs. This has been reflected in the positive reception from brokers, not only in Spain but also in the Portuguese market.
IFF: In terms of business development, while we remain active in traditional sectors such as construction, energy, manufacturing, and retail, we have also expanded into targeted niche areas. These include maritime civil liability, such as ship repairers and offshore risks, as well as pharmaceutical and clinical trial liability, and sports & entertainment.
What strategic priorities will guide your work in the coming months?
IFF: Our strategic priority for the coming months is to continue delivering sustainable growth while further strengthening our market position and relevance and expanding our share in selected segments.
A central focus will remain on the niche areas we have identified, where our technical expertise and underwriting capabilities allow us to differentiate clearly. At the same time, we are committed to delivering a leading service proposition to our broker partners, ensuring responsiveness, consistency, and high-quality engagement across all interactions.
We aim to position ourselves not simply as a capacity provider, but as a lead market offering meaningful solutions for our brokers and clients. This approach fosters deeper, more collaborative relationships, as we work closely with brokers to support their growth while delivering tailored outcomes for end clients.
CC: Our proposition is underpinned by a clear and consistent market offering, particularly in our willingness to engage with complex risks across key sectors. This clarity ensures that brokers understand exactly what to expect when approaching Arch, reinforcing confidence and trust in our capabilities.
We also benefit from a unique combination of agility and scale. As a relatively recent entrant in the market, we are able to act with flexibility, speed, and creativity. At the same time, we are supported by the considerable scale, global expertise and AA- financial rating, which provides an extremely solid foundation for long-term growth and stability.
How would you describe the evolution of capacity in the Spanish liability market over the past year? Has it stabilised or are there still tensions? What dynamics do you observe in prices?
CC: Over the past year, the market has shown clear signs of softening, driven primarily by an increase in available capacity across several lines. Both domestic and international carriers have continued to deploy capacity, creating a more competitive environment. As a result, pricing has come under sustained pressure, particularly in more commoditised segments. This environment requires a disciplined approach to underwriting, as maintaining technical adequacy becomes increasingly important.
In this context, our strategic focus on complex and specialised risks is especially relevant and opportunities continue to exist in this area. These segments tend to be less affected by excess capacity, as they require a higher level of technical expertise and underwriting discipline. By concentrating on these areas, we are able to differentiate our offering and continue to deliver value to brokers and clients despite broader market pressures.
In a highly competitive market. What strategies do you consider essential to maintain a sustainable balance between market share, risk selection, and profitability?
IFF: In the current environment, maintaining a sustainable balance between market share, risk selection, and profitability requires a clear and disciplined strategy. This begins with a well-defined risk appetite and a strong focus on targeted segments where we have proven technical expertise.
At Arch, our emphasis on complex and specialised risks enables us to compete more effectively on value rather than price alone. Ultimately, success depends on staying focused. It is about prioritising the business we understand best and where we can deliver the greatest added value to our broker partners and their clients.
In your specific case, what is your value proposition?
CC: Our value proposition is built on experience, responsiveness, technical expertise, and creativity. We combine these strengths with a strong commitment to building long-term relationships with our broker partners, based on transparency, clarity, and consistency in everything we do.
Beyond underwriting, we place significant emphasis on delivering high-quality service throughout the policy lifecycle, including claims management. Our Iberian platform is fully developed, with dedicated underwriting and claims capabilities. The recent appointment of Ángel Gándara Bonaechea as Claims Manager for Third Party Lines further reinforces our ability to handle large and complex claims with a high level of technical expertise.
IFF: Essentially, our aim is to be a trusted partner to our brokers, working collaboratively with them to deliver the best solutions for our mutual clients. The strong reception we have received from the market so far reflects this positioning, and we are excited about the journey ahead as we continue to expand our market proposition and enhance our broker relevance.