Insurers take cover to avoid capital crunch
Insurance survey: Global results
Insurance survey: Full results
Insurance survey: Use of alternative risk transfer
| Respondents who use alternative methods of risk transfer: | 32% |
| Methods of self-insurance used: | |
| Captive: | 40% |
| Self-insurance: | 25% |
| Hedge funds/derivatives: | 8% |
| Risk retention groups: | 12% |
| Other/unsure | 15% |
| What percentage of your risk transfer is provided by alternative market mechanisms? | |
| Less than 30% | 53% |
| 30-50% | 12% |
| 50-70% | 12% |
| More than 70% | 11% |
| Did not say: | 12% |
| Which type of insurance do they specifically cover? | |
| Property | 40% |
| Workers compensation | 5% |
| Directors & officers liability | 2% |
| Employers liability | 5% |
| Professional indemnity | 2% |
| Transport | 3% |
| Marine | 2% |
| Terrorism | 2% |
| Health/casualty | 4% |
| All risks | 10% |
| Other/unspecified | 25% |
| Which company set up and manages your alternative risk transfer mechanisms ? | |
| 1 | Marsh |
| 2 | Aon |
| 3 | Jardine Lloyd Thompson |
| 4 | Willis |
| 5 | Mapfre |
| Do you expect your use of alternative risk transfer methods to increase or decrease in the next five to 10 years? | |
| Increase | 58% |
| Decrease | 3% |
| Stay the same | 39% |
| If you do not use an alternative mechanism, why not? | |
| No need | 90% |
| Other: | 10% |
| Examples of other reasons: | |
| 1 | “It’s cheaper to use internal brokers and connections” |
| 2 | “The standard methods are the most secure” |
| 3 | “We have a very conservative management” |