#56 - Alternative Risk Transfer: Why, When & How - podcast episode cover

#56 - Alternative Risk Transfer: Why, When & How

May 23, 202334 minEp. 56
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Episode description

The guys go deep into alternative risk transfer this week, discussing insurance-linked securities (ILS), cat bonds, and why re/insurers may choose different ways to mitigate risk other than traditional reinsurance deals. This episode is also packed with analogies, including one from ChatGPT!  


CONNECT & SUPPORT:

Website: https://www.supercede.com 

LinkedIn: https://www.linkedin.com/company/supercedehq

Twitter: https://twitter.com/SupercedeHQ 

YouTube: https://www.youtube.com/channel/UCuzfykcesD0phGaCK7qB09Q 

RSS Feed: https://anchor.fm/s/7e741c8c/podcast/rss

Say Hello: producer@thereinsurancepodcast.com 


OUTLINE & TIMESTAMPS:

(00:00) Intro

(02:57) Jerad’s Analogy for Alternative Risk Transfer

(06:18) ChatGPT’s Analogy for Alternative Risk Transfer 

(08:31) Ben’s Analogy for Alternative Risk Transfer 

(10:02) Insurance Linked Securities (ILS) Explained

(15:22) Concerns With ILS Compared to Traditional Reinsurance

(17:58) Drivers of ILS Purchasing, Cat Bonds, & Capacity Constraints

(19:48) Basis Risk: Indemnity Triggers & Parametric Coverage

(22:22) Traditional Reinsurance Vs. Alternative Risk Transfer 

(26:15) Brokers Using Creativity to Solve Client Problems

(28:25) Insurance Add-Ons, Protections, & Exclusions

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