Huff: Bermuda market proves reliable partner
Bermuda’s insurance and reinsurance market proved to be a reliable partner for the US during the second worst year for catastrophe losses on record.
That is the view of John Huff, who took over as president and chief executive officer of the Association of Bermuda Insurers and Reinsurers at the start of the year.
Insured losses from natural disasters last year were around $134 billion, only just below the record year of 2011. Hurricanes Harvey, Irma and Maria, in the US and Caribbean, and wildfires in California, were among the events that proved most costly.
“There are many lessons to be learnt from a busy natural catastrophe year. One is to find out who your reliable partners are. Certainly, the Bermuda market is a reliable partner for US natural disasters,” Mr Huff said, in an interview with AM Best TV.
He believes the industry is likely to see new talent arrive seeking careers with a purpose, which he said is “really amplified after a natural disaster”.
Mr Huff, who took over the lead role at Abir following the retirement of Bradley Kading, said the Bermuda market will probably handle 30 per cent of the insured losses from Harvey, Irma and Maria.
“It solidifies Bermuda’s role as one of the leading underwriting hubs,” he said.
Regarding changes to US tax codes and how they might affect businesses in Bermuda, Mr Huff said “companies are looking at now how it may impact their corporate structures. It’s a little early to tell. There will be certainly many questions on the regulatory front”.
He added: “Time will tell but Bermuda will always remain a chief underwriting hub for global markets.”