Bermuda's Re/Insurance Industry: A Small Island with a Big Impact

Bermuda's Role in Global Resilience

Bermuda, known for its picturesque beaches, is also a significant player in the re/insurance industry. The Association of Bermuda Insurers & Reinsurers (ABIR) works to elevate the profile of Bermuda's reinsurers and insurers and represents their public policy interests globally. ABIR CEO John Huff recently discussed the contributions of Bermuda companies to global resilience with Triple-I CEO Sean Kevelighan. For instance, Bermuda insurers and reinsurers paid $2.7 billion in claims from last winter's storms in Texas. Additionally, some Bermuda companies are preparing to fund new U.S. infrastructure projects through their investment portfolios.

Economic Powerhouse

According to the Bermuda Monetary Authority, the island nation is home to 1,200 (re)insurers holding more than $980 billion in total assets and writing gross premiums of approximately $240 billion. This economic powerhouse is not just about numbers; it's about resilience. Huff is enthusiastic about the role the re/insurance industry plays in securing a more resilient future for society. He believes it's an opportunity to lead in areas such as climate, resilience, and adaptation.

Talent and Innovation

Huff highlighted the concentration of exceptional talent within a square mile of Hamilton's business district, attracting investors who have poured capital into the jurisdiction to form startup companies. Many established companies in Bermuda are scaling up by expanding their capabilities to take on more risk through analytics, underwriting, and capital allocation. Interestingly, Bermuda companies underwrite half of the mortgage insurance sold in the U.S., creating opportunities for more young families to purchase their first home.

For readers, understanding the role of re/insurance in global resilience can be crucial. Consider diversifying your investments to include re/insurance companies, especially those with a strong presence in Bermuda, to benefit from their resilience and innovation.