From: Captive Intelligence
Interest from captives in parametric solutions is increasing, particularly in the property market where insureds are looking at managing rising insurance costs.
Captive Intelligence published a long read in September examining the potential for more captive involvement in parametric structures, and specialists Descartes believe the time is right for greater adoption.
“We’ve seen a growing interest from captives in parametric solutions,” Meryl Bermond, business development manager at Descartes Underwriting, told Captive Intelligence.
She said a key driver is parametric structures allowing captives to charge the “real price” of a risk for the period covered.