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The Association of Bermuda Insurers and Reinsurers has released its Ninth Annual Bermuda Economic Impact Survey results, and the data shows that ABIR members’ directly contributed $886.8 million dollars to the Bermuda economy.
This figure is an increase of nearly $70 million over 2012. ABIR members employ more than 1,500 people in Bermuda, and believe that their aggregate economic impact is a multiple of that direct contribution and employment to the benefit of Bermuda’s economy.
“ABIR’s members represent the largest business segment in Bermuda, directly and indirectly driving economic activity, jobs, tourism and government revenues. The Government’s action to ease business travel restrictions, lengthen work permits and foster long term residence opportunities will bear fruit over time in employee location decisions. For every employee we bring to Bermuda, more jobs for Bermudians are created,” says Mike McGavick, chair of the ABIR Board, and CEO of XL Group, plc. “The trend towards consolidation and the soft market conditions, however, will continue to affect our local employment,” he notes.
“ABIR’s members employ over 1,500 people in Bermuda. Sixty-five percent of those employees are Bermudian. Bermuda is the center of innovation in property catastrophe underwriting and the location of key talent in this business segment has allowed Bermuda to attract significant amounts of capital from pension funds to further grow Bermuda’s footprint in the alternative capital market,” says ABIR president Brad Kading. “The Bermuda Monetary Authority’s accomplishments in meeting international regulatory standards and the leadership of the Minister of Finance in meeting the necessary high levels of transparency, cooperation, and tax law compliance are twin foundations necessary for this business to thrive here. We applaud their actions,” Kading says.
Kading adds that the total economic contribution is a sum of: travel and entertainment expenses, payments for business services, charitable contributions, real estate costs including housing reimbursement, plus the payroll. ABIR represents 21 international insurance groups all of which have essential underwriting operations in Bermuda. Nineteen ABIR members participated in the survey.
You can access a summary of the data at the ABIR’s website, here.
ABIR, Bermuda economic impact survey, Mike McGavick, Brad Kading