Flood Re, the state-backed flood reinsurance pool in the United Kingdom, saw its entry to the insurance-linked securities (ILS) market with its debut catastrophe bond this year as key for it to “respond to the consequences of global climate risks” as it grapples with rising risks.
Flood Re sees itself as “more than a reinsurance vehicle”, in providing a vital component of the United Kingdom’s flood resilience strategy, in helping those in flood prone areas access affordable insurance protection.
But, in a world that seems beset by increasing flood disasters and losses, this mission is not without its challenges, given rising risks and climate driven flood consequences, higher exposure levels being ceded to Flood Re and the rising costs of global re/insurance protection.
FULL ORIGINAL PUBLICATION HERE