by James Rawcliffe, Sagicor
I read with interest an article dated October 12, 2012 in Hedgeweek in which the Bermuda Insurance Regulator was discussing Bermuda’s increasing rise as a centre of the global special purpose insurer and insurance linked security business. This was considered here in Cayman not worthy of a formal response, as it would give credence to Bermuda’s claim. Instead the vehicle of the Cayman monthly blog is an appropriate means of poking back at such nonsense. In the borrowed words of Rafael Benitez used at his famous “facts” press conference during the 2008-09 football season:
“I was surprised by what has been said, but maybe they (Bermuda) are nervous because we (other domiciles) are at the top of the table. But I want to talk about facts. I want to be clear. I do not want to play mind games too early, although they seem to want to start. But I have seen some facts.”
- Based on the listing published by Artemis which runs from 2006 in 2012 there have been 23 deals, 14 came to Cayman, 8 to Bermuda and 1 to Ireland. Of the 14 that came to Cayman 10 were licensed and 4 non-licensed. Since 2006 Cayman has picked up 73% of deals.
- Just today there emerged news from Dublin that a reinsurer has successfully placed approximately US$230 million of new catastrophe bonds into the market on November 1, 2012 through its Irish special purpose reinsurance vehicle, which is believed to be the first of its kind deemed compliant with Solvency II.
I will finish this blog with Rafael’s words “We need to know that I am talking about facts, not my impression. There are things that everyone can see every single week. Are they (Bermuda) under pressure? Maybe they were not thinking that we (other domiciles) would be at the top of the table, but we are at the top of the table and they are nervous.”
This piece was originally published on Captive Review