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The benign natural catastrophe environment has been just one factor driving difficulties for the re/insurance industry. These pressures were among the topics discussed by senior executives at a roundtable held in Hamilton, Bermuda, hosted by Xuber, a CSC company.
The ongoing soft market, as well as pressure on terms and conditions, has been a key factor in driving global mergers and acquisitions (M&A) activity. Last year $89 billion of volume in 770 deals were transacted according to Capital IQ—a dramatic 187 percent increase on the $31 billion of transactions in 701 deals in 2014 (reported in the Aon Benfield Reinsurance Market Outlook, January 2016).
The wave of M&A activity has affected Bermuda—and the expectation is that more is on the way. From an employment point of view, there is a general sense of relief that M&A activity has not resulted in the Island losing as many jobs as had first been feared.
Erik Manning, managing director of Aon Benfield Bermuda, said most jobs on the Island had been retained, although he admitted that in the past few years, professionals were worried “the industry would shrink and large numbers of people would leave”.
Bermuda, roundtable, ILS, M&A, storms, nat cats