Insureds are attracted to parametric products such as insurance loss warranties (ILW) because of their simplicity and because they offer faster resolution of payments, according to Joe Scheerer, principal and chief executive officer at Stonybrook Capital.
Stonybrook Capital launched its ILW desk in the summer of 2020 and it has already completed several transactions, according to the banking and reinsurance broking firm. Scheerer described it as “another example of Stonybrook developing new products and services to assist the re/insurance market.”
Dan Butzbaugh of Stonybrook Risk Management, added: “Our goal was to bring technology that delivers transparency, improved market intelligence, and a less intrusive price-discovery process for underwriters and buyers, and we are thrilled by the support of the ILW marketplace.”
Paul Kneuer of Stonybrook Capital said Stonybrook’s experience working with CAT exposed insurers can be leveraged in the ILW arena as well.
Joe Scheerer, Stonybrook Capital, Dan Butzbaugh, Paul Kneuer