Bermuda’s Premier, David Burt, told an insurance-linked securities sector conference that recent natural disasters around the globe have highlighted the key role the island’s insurers and reinsurers play.
Burt listed a number of disasters in recent weeks, including wild fires in California, catastrophic earthquakes in Mexico, and three destructive Atlantic storms.
He said the hurricanes are estimated to have cost 100s of billions of US dollars in economic losses, and USD100bn in estimated insured losses, with Bermuda (re)insurers expected to pay out about 25 percent of those losses for rebuilding efforts.
Burt said the island remains the leading jurisdiction for insuring against catastrophic losses, pointing to the record 61 new ILS listings on the Bermuda Stock Exchange in 2016, and 218 listings to June this year. He also noted the innovation prompted by recent disasters, with reinsurers said to now be embracing improved, alternative capital models.
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