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Bermuda's Leaders Part II - Service Providers & ILS Specialists 2016

BERMUDA’S LEADERS PART II “Bermuda’s innovative and adaptive approach has shown that even in difficult market conditions there are opportunities t Neil Horner o be embraced.” Job title: Director and head of the corporate department Company: ASW Law be a key piece of legislation for new reinsurance funds as of October 2016. In addition, Bermuda is likely to enact in the near future incorporated cell legislation which could be used by reinsurance funds, sidecars and SPIs. What will be the main areas of growth for the Island’s risk transfer market? We are of the view that there are opportunities for growth in the Bermuda life and other long-term business re/ insurance sector. In particular, as people are living longer and interest rates remain low, the longevity risk transfer market in Bermuda may become more prevalent. On the general insurance business side, there is a growing and imperative need around the globe for technology and cyber risk coverage. What are the main challenges you see ahead? The soft market conditions that have been prevalent since 2012 and the pressure from third party capital will continue to impact Bermuda insurers and may lead to further consolidation within the insurance industry. That said, Bermuda’s innovative and adaptive approach has shown that even in difficult market conditions there are opportunities to be embraced, as the phenomenal growth of ILS demonstrates. The current consensus appears to be that ILS investors will remain invested following the next major catastrophic event and it will be interesting to see if this holds true. Are there any other leaders you particularly admire for what they have done to help propel Bermuda to prominence as a risk transfer hub? The late Bala Nadarajah, ASW’s first head of corporate and my mentor, is considered by us and many others in the Bermuda insurance industry as the man who helped lay the legal and regulatory groundwork for the Island’s rise as a leading global reinsurance centre. Jeremy Cox, CEO of the BMA, and all of his team have also done tremendous work in delivering Solvency II equivalence for Bermuda. Neil Horner is head of the corporate department and a  director of ASW Law. He has worked extensively in transactions involving the insurance industry since he arrived in Bermuda in 2003 including high-profile start-ups and IPO work, acquisitions and disposals and redomiciliations to Bermuda. His practice also has a focus on convergence between insurance and funds structures particularly in the ILS space. He writes extensively and contributed the chapters on Bermuda insurance regulation and segregated account companies to the 4th  edition of O’Neill & Woloniecki’s The Law of Reinsurance. Do you believe Bermuda will remain a risk transfer hub? Yes. Bermuda’s insurance industry continues to bolster its position as a leading jurisdiction in reinsurance, ILS and captive insurance. Last year’s confirmation from EIOPA that Bermuda was one of only two third party jurisdictions successfully to achieve Solvency II equivalence demonstrates international endorsement of Bermuda as a leading insurance and reinsurance centre. Bermuda’s commitment to this sector allied to the development of innovative insurance products and a sophisticated legal, regulatory and market environment are some of the factors that have made Bermuda successful. How do you anticipate Bermuda will continue to adapt and evolve? Bermuda’s dominance in the ILS market is likely to continue during the next few years, with innovative solutions like the special purpose insurer (SPI) regime of 2010 for the convergence sector being introduced at rapid pace, including class A exempted funds and the newly enacted Limited Liability Company Act 2016, which is expected to 18 2016 Bermuda:Re/insurance+ILS


Bermuda's Leaders Part II - Service Providers & ILS Specialists 2016
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