A new report from Bermuda International Long-Term Insurance and Reinsurance (BILTIR) has revealed significant stability and growth in Bermuda’s long-term insurance market. Specifically, 92% of BILTIR members’ assets under management are investment grade, while the assets held by these companies exceed their liabilities by $231 billion.

BILTIR based its findings on a study of 55 life insurance and annuity companies that are members of the association. One significant finding is that Beltier members have paid a total of $137 billion in benefit payments over the past five years, highlighting efforts to address the pension protection gap.

Assets held by reporting companies exceed their liabilities by $231 billion, indicating a high level of asset diversification used in reinsurance, direct underwriting, and growth financing.

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The analysis shows that 92% of BILTIR members’ assets under management are investment grade, with 95% of their bonds, bonds and regulated assets also being investment grade. Additionally, 77% of these assets leverage secured trusts, locked-in funds, or MODCO arrangements, reflecting the stable investment capital that fuels innovation in the industry.

“As evidenced by this data, Bermuda’s insurers and reinsurers play an important role in protecting policyholders. Strong, sophisticated regulation and stable capital investments create an environment for excellence within the industry,” said Susan Williams Charles, CEO of BILTIR.

“Addressing the pension protection gap is a global issue, and Bermuda is at the forefront as a location to support the changing industry. This jurisdiction serves as a best practice model for others.

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