How To Make Your Special Purpose Insurer A Success

A special purpose insurer (SPI) can enable insurers and reinsurers to tap a wider source of reinsurance than is offered in the traditional insurance and reinsurance market. But to be successful and remain compliant with its obligations, the appointment of appropriate directors to its board is vital, explains George Jones.*

Alongside the appointment of appropriate directors to the board of SPIs, a vital component of good corporate governance is for those directors to have an understanding of their legal, statutory and fiduciary duties.

Good governance is ultimately down to a company's directors and in the case of ILS deals, it is the board of directors of the SPI that shoulders responsibility for ensuring they are fit and proper for the role.