According to the Complaint, Maiden is a Bermuda-based holding company that provides specialty reinsurance through its subsidiaries. Maiden has two reportable operating segments: (i) Diversified Reinsurance; and (ii) AmTrust Reinsurance. The Diversified Reinsurance segment consists of a portfolio of predominantly property and casualty reinsurance business focusing on regional and specialty property and casualty insurance companies. The AmTrust Reinsurance segment includes all business ceded by AmTrust Financial Services, Inc. (“AmTrust”). AmTrust and Maiden are closely related entities, and AmTrust is Maiden’s largest customer.

The Complaint alleges that throughout the Class Period, Defendants misrepresented the quality and nature of Maiden’s underwriting and risk management policies and practices and the risks of its reinsurance portfolio. In particular, the Complaint alleges that Defendants misleadingly claimed that they were subjecting AmTrust’s insurance portfolio to robust analysis and cross-checks to ensure that the Company had appropriately priced the risk of reinsuring AmTrust’s insurance portfolio, while in truth, the Company had failed to employ sufficient underwriting and risk management protocols and had largely abdicated its responsibility to ensure that its AmTrust Reinsurance segment priced policies commensurate with the risk assumed by the Company.

On June 20, 2019, the Court issued an Order consolidating cases and appointing Lead Plaintiff and Counsel. On July 12, the Court vacated the Order of June 20, 2019. On February 19, 2020, the Court issued an Order consolidating cases and appointing Co-Lead Plaintiffs and Counsel. Co-Lead Plaintiffs filed an amended Complaint on May 1.