Guernsey's confirmation of 30-day rollover for
insurance-linked securities cells established in the island
demonstrates Guernsey as an innovator in the ILS field and could
lead to other ILS markets reviewing their approach, according to
Mark Elliott, Director of ILS Management at Aon Insurance Managers.
Mr Elliott was speaking at an event hosted by Guernsey Finance
as part of a two-day ILS roadshow conducted by Guernsey industry
representatives in London.
The new 30-day rollover provisions – which mean that for a
30-day period at the start of a transaction, including a renewal,
an ILS cell is not considered to breach its fully-funded
requirements if collateral were not yet in place – were
announced at the end of last year and were well received in the
market, said Mr Elliott. The move has been seen as advantageous for
ILS fund managers and cedants.
