The Bermuda Monetary Authority has published a consultation paper proposing a dedicated framework for a new Parametric Special Purpose Insurance (PSPI) class. The proposed class is intended to support Bermuda alternative capital (re)insurers adopting parametric business models and to provide an additional pathway for prospective registrants seeking to enter the Bermuda market. The consultation sets out a fit-for-purpose PSPI framework aimed at supporting the development of a parametric insurance market, including by helping to address protection gaps linked to non-insured losses, climate change and emerging risks. The consultation paper is available on the Authority’s website for industry feedback.
Bermuda Monetary Authority 2026-01-21
Bermuda Monetary Authority launches consultation on a new Parametric Special Purpose Insurance class framework
The Bermuda Monetary Authority has released a consultation paper proposing a framework for a new Parametric Special Purpose Insurance class to support alternative capital (re)insurers and address protection gaps related to non-insured losses, climate change, and emerging risks. The paper is open for industry feedback on the Authority's website.