Rethinking Parametric Insurance: A Hidden Investment Opportunity
3 October 2024The ILS market’s growth over the past 25 years has been driven mainly by indemnity-based transactions, despite the potential of parametric insurance. While parametric structures are simpler, more transparent, and resemble financial instruments like options, indemnity transactions have dominated due to the ILS market’s original goal of providing risk capacity to insurers.
Dr Rom Aviv, ILS Senior Advisor at Twelve Capital, discusses this topic in the Q3 2024 report issued by Artemis.
