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The 2017 hurricane season could be a defining moment for Bermuda. Greg Wojciechowski of the Bermuda Stock Exchange outlines why this Atlantic storm season may define Bermuda’s role in the world for years to come.
Hurricanes Harvey, Irma and Maria are the latest in a growing stream of increasingly costly mega-disasters that prove the importance of our markets in the global economy. Reinsurance and the ever-evolving insurance-linked securities (ILS) sector bring much-needed cover and relief when nature strikes, allowing governments and businesses to get back up and running and insurers to pay out claims.
These events, coupled with the devastating earthquakes in Mexico, have served as a stark reminder of the importance of insurance protection when it comes to risk management. Bermuda’s reinsurance market plays a critical role in creating a competitive landscape for the global reinsurance market while helping to speed up recovery from disasters when they strike.
These catastrophic events highlight the role that the Bermuda reinsurance market plays for global insurers and governments faced with massive resource demands when disaster strikes. The relief that will be required from these catastrophes is going to bring discussion of the protection gap right to the forefront in respect of strategic planning in the face of future catastrophic events.
Bermuda, Greg, Wojciechowski, Irma, Harvey, Maria, BSX, Stock, markets, Exchange, reinsurers, ILS