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Bermuda Reinsurance Leaders 2016

violence, mortgage, and cyber are widely underwritten on the Island. There is a deep pool of local expertise, and capital to support growth in these and other classes. What are the main challenges you see ahead? A sluggish global economy is our most immediate and pressing challenge. Despite this, our industry, and Bermuda companies in particular, are producing attractive returns relative to other segments of the financial services industry. We need to continue to evolve our products to offer more value to our customers, and to find ways to bring new risk into the insurance and reinsurance industries to help drive increased demand. The protection gap between economic loss and insured loss is an area of focus for all of us, and encompasses a huge potential growth area. The industry is pushing harder to offer private market solutions for certain risk classes such as flood, mortgage, and terrorism, that historically have been borne by government entities. Bermuda is leading the charge in many ways. Are there any other leaders you particularly admire for what they have done to help propel Bermuda to prominence as a risk transfer hub? I’ve been very fortunate to work closely with Validus’ chairman and CEO, Ed Noonan. We were a first-mover in expanding short-tail Bermuda reinsurers into Lloyd’s with our Talbot acquisition in 2007, and pioneered the aligned ILS-reinsurer model with the establishment of AlphaCat. After the devastating hurricanes in 2004 and 2005, we raised $1 billion in private equity capital to answer the needs of our customers. In that moment, we elected to invest substantial human and economic capital into natural catastrophe research. We now employ over 40 individuals worldwide whose sole responsibility is conduct in depth scientific research of natural and man-made perils. Ed established our strategy, set the tone for our culture, and has guided us over the last 11 years to grow from a short-tail focused startup, to an established leader in Bermuda, Lloyd’s, the ILS space, and the US primary market. BERMUDA’S REINSURANCE LEADERS Kean Driscoll is the chief executive officer of Validus Reinsurance, the reinsurance arm for the Validus Group. He was a founding member of Validus, and previously served as chief underwriting officer. He currently serves on the board of the Reinsurance Association of America as vice chairman. He is also a member of the advisory committee of Terrorism Risk Sharing Mechanisms, advising the Federal Insurance Office on reforms to the existing Terrorism Risk Insurance Act. Driscoll has 21 years of experience as a reinsurance underwriter, and was previously with Quanta Re, and Zurich Re (Converium). He holds an MBA from Columbia University, where he graduated with Honors. Do you believe Bermuda will remain a risk transfer hub? What has made it so successful in this sphere? Absolutely. Even a quick glimpse of the innovation within the ILS community allows one to appreciate the myriad benefits of operating in the Bermuda market. The achievement of Solvency II equivalence is a validation of the work done by the regulators and the company market in establishing Bermuda as a preferred destination of capital. Bermuda has captured the right blend of capital flexibility, innovation, and strong enterprise risk management. Further, the government, local companies, and local education institutions have done a terrific job in training new talent on the Island. Every year Validus is able to bring in a group of talented graduates who amaze me with their enthusiasm for and knowledge of our business. What will be the main areas of growth for the Island’s risk transfer market? Over the last decade we have seen an expansion of risk appetite and capabilities for many of the Island’s reinsurers. Classes such as life reinsurance, marine & energy, political “The protection gap between economic loss and insured loss is an area of focus Kean Driscoll for all of us.” Job title: Chief executive officer Company: Validus Reinsurance 14 2016 Bermuda:Re/insurance+ILS


Bermuda Reinsurance Leaders 2016
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