Regulation

The trade association says reforms would reduce participation in the US flood programme and stifle private market growth.

The plan would have “enormous unintended consequences”, the industry association federation says.

It is more efficient for ILS managers and cedants to be able to give collateral clawbacks, the Credit Suisse ILS head has argued.

The proposed legislation would enable the state’s governor to tap the ILS market for coverage.

The new framework will be put in place in 2020 to help manage the market’s risk appetite and performance.

The ILS market has broadly welcomed moves by the Bermuda Monetary Authority (BMA) to create a new collateralised insurance vehicle, but opinions vary on whether the new rules will prove to be onerous.

Congresswoman Maxine Waters said the National Flood Insurance Program has experienced twelve short-term extensions resulting in brief lapses since fiscal year 2017.

Pool Re is likely to issue a new cat bond but will wait for volatility in the ILS market to settle down first, CEO Julian Enoizi said.

The Independent Insurance Agents & Brokers of America (IIABA) trade association has urged President Trump to sign the bill.

The legislation now passes to the state’s Assembly.

The law was approved by the Florida legislature in late April.

The main point of concern has been over lawyers' ability to find new ways around the clampdown on the AOB regime that has led more claims to court.