ILS, collateralized reinsurance market to hit $160 billion by 2020
Posted On: May. 18, 2016 12:00 AM CSTMichael Stahel, partner at Switzerland-based LGT ILS Partners Ltd., said that insurance-linked securities and collateralized reinsurance market could grow to $160 billion by 2020 from around $70 billion today, reported Artemis.bm.
"Based on this growth, the collateralized market will make up more than 30% of the overall catastrophe reinsurance market by 2020 compared to about 18% today," said Mr. Stahel.
He further expects an increase in amounts of reinsurance purchased through collateralized or ILS transactions as insurers aim to meet capital requirements.