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Standard & Poor's Corp. has warned that the continued and future growth of insurance-linked securities, catastrophe bond and alternative reinsurance capital market should not come at the cost of looser discipline, reported Artemis.bm.
The rating agency said that the alternative capital market will "continue to innovate and push boundaries" in insurance and reinsurance.
"As we welcome this innovation, we continue to caution that any growth should not come at the expense of looser underwriting discipline and less due diligence," added S&P.