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Bermuda Reinsurance Leaders 2016

How do you anticipate Bermuda will continue to adapt and evolve? The Bermuda market has survived and thrived because of its ability to respond quickly to changing market conditions. I don’t see this changing. A new dynamic in market sustainability is the manner in which Bermuda companies embrace technology to improve their risk selection and underwriting processes. I see solid evidence that technology will be a determining factor in Bermuda adapting to a new risk landscape. What will be the main areas of growth for the Island’s risk transfer market? Alternative capital and ILS have created some interesting and innovative growth opportunities, and Bermuda is now a recognised ILS market. Those companies who’ve embraced alternative capital have been able to establish structures like sidecars and cat bonds that offer viable capitalisation options. We also see opportunities in emerging risks, such as cyber, mortgage and autonomous vehicles, where the ability to leverage data science and predictive analytics will provide competitive opportunities. What are the main challenges you see ahead? Our industry has been too slow to make the transition from analogue to digital. Too many of our processes are still manual. Figuring out how to develop a nimble, technology-enabled organisation and at the same time operate in a traditional environment is very difficult. Another challenge is remaining profitable in a low to zero interest rate environment. We seem to have entered a ‘new normal’ in the reinsurance sector, where the peaks and troughs of market cycles won’t be as dramatic as they’ve been. This puts incredible pressure on both sides of the balance sheet. Rising to this challenge demands bold and disciplined decision-making. As Millennials consider what career options they want to pursue, we need to make sure our recruitment and hiring polices as well as our workplaces appeal to this diverse and purpose-led generation. Are there any other leaders you particularly admire for what they have done to help propel Bermuda to prominence as a risk transfer hub? Brian Duperreault is first and foremost in my mind as one of the principal architects of today’s Bermuda market. Brian’s vision in developing a company like ACE and establishing a company like Hamilton is an inspiration to anyone working in the industry. BERMUDA’S REINSURANCE LEADERS Kathleen Reardon is a member of the Hamilton Re founding management team and has 20 years of re/insurance industry experience. She is a fellow of the Casualty Actuarial Society and a member of the American Academy of Actuaries. She received a Bachelor’s degree in mathematics from Drexel University, Philadelphia, Pennsylvania. Do you believe Bermuda will remain a risk transfer hub? What has made it so successful in this sphere? For more than 50 years, Bermuda’s regulatory and legislative environment has been conducive to enabling creativity and innovation in the insurance and reinsurance industry. The Bermuda Monetary Authority has established a well-deserved global reputation for meeting and maintaining the highest of international standards in overseeing the industry and is a full member of the International Organisation of Securities Commissions (IOSCO), a member of the Group of International Finance Centre Supervisors, and a founding member of the International Association of Insurance Supervisors (IAIS). The Bermuda government works in partnership with the industry to keep legislation current so that Bermuda maintains its status as one of the world’s premier markets. This is a unique partnership, one that’s characterised by a mutual recognition of the importance of the industry to Bermuda’s economy and the need to ensure that the highest of legislative standards are maintained. “I see solid evidence that technology will be a determining factor in Bermuda adapting to a new risk landscape.” Kathleen Reardon Job title: Chief executive officer Company: Hamilton Re Timeline: 2005: Chief underwriting officer senior vice president, ACE Tempest Re Bermuda 2000: Assistant vice president underwriting, ACE Financial Solutions International 1994: Actuarial assistant, CIGNA 30 2016 Bermuda:Re/insurance+ILS


Bermuda Reinsurance Leaders 2016
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