Creativity and innovation will drive ILS
Wednesday, 10 12 2016, Category: Insurance and Reinsurance, Country: World
Continued expansion of the insurance-linked securities (ILS) market into new business lines and geographies will require creativity and innovation, according to Paul Schultz, Chief Executive Officer (CEO) of Aon Securities.
The alternative reinsurance market has focused almost exclusively on property catastrophe business, said Schultz, explaining that he expects the market to broaden its reach over time into specialty lines and beyond.
Speaking at the Aon Benfield media event during the 2016 Monte Carlo Reinsurance Rendezvous event held earlier in September, Schultz explained that Aon Securities, the investment banking and ILS focused unit of brokerage Aon Benfield, expects alternative capital to grow to between $120 billion and $150 billion by the end of 2018.