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A.M. Best expects ILS and alternative reinsurance capital to grow in Latin America

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A.M. Best Co. Inc. expects insurance-linked securities and alternative reinsurance capital to expand in Latin America, reported Artemis.bm.

But, the rating agency said that it is likely to take time to grow in the region. "The introduction of new regulatory frameworks in the region in line with best international practices and the continuing low interest environment, could lead to an increase in the use of alternative risk transfer products, which until now have not been relevant in these markets," said A.M. Best.

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