A flight to quality is underway in the insurance-linked securities (ILS) market, following disappointing performance in 2017 and 2018, an exclusive Bermuda:Re+ILS survey has revealed.
The global ILS market could be at a crossroads, according to a recent report by Guy Carpenter. Bermuda:Re+ILS takes a look at what is likely to be a key moment for Bermuda.
Bermuda’s vibrant ILS sector already faces competition from established hubs such as the Cayman Islands, Ireland and Guernsey but now, emerging domiciles such as Singapore, Hong Kong, the UK, and France are also looking to get a foothold in this market. Bermuda:Re+ILS reports.
The spate of heavy losses in 2017 and 2018, compounded by ‘loss creep’ as some funds struggled to post accurate loss estimates, seems to have made ILS investors pause for thought, with many being much more circumspect as to where to place their money. Bermuda:Re+ILS investigates.
Bermuda will “keep on keepin’ on” and doing what it is doing when it comes to insurance-linked securities (ILS), says Greg Wojciechowski, chief executive officer of the Bermuda Stock Exchange. Here he looks back at 2018 and forward to 2019 as the jurisdiction continues to work hard to develop and keep its solid platform.
The ILS markets will continue to evolve and flourish with Bermuda front and centre of future development. That was the overall takeaway of the ILS Convergence 2018, held in Bermuda in early October.
Multi-cat bonds or other ILS solutions are the only viable solution for coping with natural disasters in the Eastern European and Commonwealth of Independent States region, and Bermuda could have a big role to play in making this happen, says Kirill Savrassov, chief executive of Bermuda-based Phoenix CRetro Reinsurance.
Bermuda has solidified its place as the go-to location for insurance-linked securities in recent years, according to Brad Adderley, corporate partner at offshore law firm Appleby.
Cyber is developing steadily: the ILS market has the potential to solve many of its challenges and Bermuda could sit at the heart of that solution. Tom Johansmeyer of PCS, Verisk Insurance Solutions, takes a look at a neglected period of time for the market.
Sponsors and investors showed continued interest in ILS last year, with record-breaking issuance and over $12 billion of new capital brought to market, and the Bermuda Stock Exchange reinforced its position as the ILS listing venue of choice, as BSX president and CEO, and chairman of ILS Bermuda, Greg Wojciechowski explains.