Brexit

Uncertainty surrounding regulation and passporting rights in the UK post-Brexit has seen some insurance-linked securities (ILS) investment managers look to migrate sections of their operations, according to International law firm Cadwalader, Wickersham & Taft LLP (Cadwalader).

As the solvency ratios of European insurers and reinsurers fluctuate after the UK’s recent vote to leave the EU, analysts at Deutsche Bank have highlighted reinsurers as the “relative safe haven” among European players in light of current, and further expected market volatility and uncertainty.

Following the UK’s decision to leave the EU last week, U.S. domiciled law firm Drinker Biddle & Reath LLP has provided some thoughts on what a post-Brexit world may look like for the London and UK market, citing the possibility that it may not be negative for the plans to facilitate ILS business.

The UK insurance and reinsurance market is awash with uncertainty, as the ramifications of a UK vote to leave the European Union are digested and London seeks to understand what a vote for Brexit will mean for its future prospects.

As the world digests the ramifications of the UK’s Brexit vote to leave the European Union, the equity analysts are assessing the potential impact to the insurance and reinsurance sector, particularly in the UK and Europe.

So, overnight the United Kingdom population has voted in favour of leaving the European Union, in what is to many a surprising result that presents a number of potential issues for the insurance-linked securities (ILS) market to consider.