ABIR direct contribution to Bermuda economy jumps 13%
Members of the Association of Bermuda Insurers and Reinsurers direct contribution to the Bermuda economy rose 13% to $815 million in 2022, bringing the total contributed over the last 15 years to almost $13 billion.
ABIR said the economic contribution included salaries and benefits paid to Bermuda-based employees, spending on travel and entertainment in Bermuda, including hotels, airfares, restaurants, taxis and catering, and nearly $6 million in donations to Bermuda charities.
ABIR, which is celebrating its 30th anniversary this year, said its members had contributed $12.84 billion since 2007.
ABIR said direct employment rose by 158 to 1,585 in 2022, of whom 1,103 were Bermudians, a rise of 145. This category includes spouses of Bermudians and permanent resident certificate holders (PRCs).
"The local component of the workforce is 70%, maintaining a level that has been achieved consistently in recent years in large part due to member company investment in career training, development and recruitment," ABIR said in a statement.
ABIR member companies also support on-island employment among service providers such as accounting firms, law firms, banks and advisers.
"Through the taxes, fees and duties they pay, Bermuda re/insurers play a leading role in sustaining the Bermuda Government revenues that fund public services," the association said. "With a majority of ABIR members expected to be in scope of Bermuda’s proposed Corporate Income Tax (CIT), due to take effect in 2025, the group’s value to the island may be about to grow further."
Pina Albo, ABIR chair and chief executive officer of Hamilton Insurance Group, said: “Over 30 years, ABIR members have shown their commitment to Bermuda by building a talent base that is more than two-thirds local and by continuing to drive the local economy.
“In 2022, it was especially pleasing that we were able to better support the island’s hotels, restaurants, caterers, taxi operators, travel services and local businesses, as our spending on travel, transportation and entertainment rose 125% from 2021 to return to pre-Covid levels.”
ABIR members also allocated more than $1.1 million to educational scholarships on the island in 2022, in addition to the internships, training, mentorship and other career development opportunities provided.
“As one of the many non-profits that has benefited from the financial contributions of ABIR members and ABIR itself, the Bermuda College Foundation cannot overstate our appreciation for, or the positive impact of, ABIR and its member companies,” states Kerry Judd, Executive Director of Bermuda College Foundation. “Our ability to develop accessible, state-of-the-art facilities and programmes at Bermuda College would not be possible without their ongoing support.”
ABIR members also contributed $6 million to non-profits and charities including Age Concern Bermuda, The Eliza Dolittle Society, The Reading Clinic, Elliot Primary School, Family Centre, HOME, P.A.L.S., Bermuda Cricket Board and Kaleidoscope Arts Foundation.
“ABIR and our member companies are proud to call Bermuda home,” said John Huff, ABIR’s president and CEO. “This survey offers some perspective on the scale of the economic substance that ABIR member companies have in Bermuda and how our activities support local organisations across many sectors. During these economically challenging times, the $815 million annual injection directly into the local economy is particularly meaningful.”