Attracting Reinsurance Business

Originally published in Strategic Risk, Captive Management, A guide to European captive domiciles and company strategies, March 2009

For captive domiciles with a strong insurance sector attracting reinsurers and other associated businesses is a natural progression. Nick Wild, Executive Chairman (ex Americas) of JLT Insurance Management, explains how Guernsey has approached this challenge.

There are new sources of capital coming to the reinsurance market. This capital is being deployed very quickly, often to write specific risks for relatively short duration. And we believe that this type of operation lends itself admirably to the Guernsey business model.

Guernsey is experiencing an increasing level of interest from the investor community keen to access insurance risk. It offers diversification into an uncorrelated risk landscape where the returns can be significant although the risk of losses should also be considered.