Government announces latest five year review of Pool Re

01 September 2020

Her Majesty’s Treasury has announced the launch of the latest five year review of Pool Re, with the objective of ensuring the good functioning of the UK’s terrorism (re)insurance market, the proper protection of public interests and agreeing Pool Re’s proposed strategic direction for the next 5 years.

The review will be conducted by Her Majesty’s Treasury (HMT), with close engagement with Pool Re and stakeholders across Whitehall and in consultation with the UK (re)insurance sector. In addition, Pool Re today announced that it will form a Review Advisory Group to advise Pool Re throughout the review. It will consist of CEOs drawn from large and small member insurers, captives as well as other stakeholders representing the interests of the customer and the industry as a whole.

The review will report to the Economic Secretary to the Treasury. HMT will publish a consultation document in late 2020 calling for evidence from interested parties followed by a report in spring 2021 setting out the findings of the review.

Since HMT’s last review of Pool Re in 2014, a series of changes have been implemented to ensure the most appropriate coverage is available in a changing threat environment. Those changes include the inclusion of cover for non-damage business interruption resulting from terrorist activity, the extension of cover to include physical damage caused by cyber terrorism and pricing improvements to better reflect policyholder risk.

Also since the last review, and in line with its objective of returning risk to private markets, member retentions have increased and Pool Re has built the world’s largest terrorism retrocession programme including an ILS layer, the first of its kind. Both initiatives further spread risk into the commercial markets and insulate UK tax payers from potential liability as the result of terrorism losses.

In furtherance of that strategy, in 2019 Pool Re Solutions was launched to provide analysis and advice to members and their policyholders on terrorism risk awareness, risk modelling and risk management, to promote the mitigation of impact from potential loss.

In February 2020 the Office for National Statistics (ONS) announced that Pool Re would be classified to the central government subsector. The review will also ensure that requirements for central government bodies are met without compromising Pool Re’s ability to operate.

Julian Enoizi, chief executive officer of Pool Re, said:

“Behind Pool Re’s success as a public private partnership is our close cooperation with both Her Majesty’s Treasury and our members. This cooperation ensures that we continue to provide the most relevant, affordable coverage against terrorism loss while facilitating the long term return of terrorism risk to private markets. We welcome this latest review as an opportunity to further develop our strategy to stay ahead of the evolving risk environment and to add increasing value to our members and their policyholders.”

For all press and media enquiries, please contact Haggie Partners: 020 7562 4444

Categories

Categories

Recently Published

Are you Protect Duty prepared?
Articles by Type - Commentary Blog Protect Duty

Are you Protect Duty prepared?

Monthly Threat Update May 2022
Articles by Type - Reports Cyber Terrorism Far-Right Extremism Monthly Update

Monthly Threat Update May 2022

Cyber Terrorism: Far-right extremists’ use of social media – an explainer
Articles by Topic - Commentary Blog Cyber Terrorism

Cyber Terrorism: Far-right extremists’ use of social media – an explainer

Monthly Threat Update April 2022
Articles by Type - Reports Cyber Terrorism Far-Right Extremism Islamist Extremism Monthly Update

Monthly Threat Update April 2022

Cyber Terrorism: Islamic State’s effective exploitation of social media
Articles by Topic - Commentary Blog Cyber Terrorism

Cyber Terrorism: Islamic State’s effective exploitation of social media

Cyber Terrorism: Understanding online radicalisation
Articles by Topic - Commentary Blog Cyber Terrorism

Cyber Terrorism: Understanding online radicalisation

Monthly Threat Update March 2022
Articles by Type - Reports Far-Right Extremism Islamist Extremism Monthly Update

Monthly Threat Update March 2022

UK Cyber Security: A New Approach?
Articles by Topic - Commentary Blog Cyber Terrorism

UK Cyber Security: A New Approach?

Monthly Threat Update February 2022
Articles by Type - Reports Far-Right Extremism Islamist Extremism Monthly Update

Monthly Threat Update February 2022

Monthly Threat Update January 2022
Articles by Type - Reports Environmental Extremism Islamist Extremism Monthly Update Tactics

Monthly Threat Update January 2022

Review of the Home Office Protect Duty Consultation Report January 2022
Articles by Topic - Reports Assessment Protect Duty

Review of the Home Office Protect Duty Consultation Report January 2022

Monthly Threat Update December 2021
Articles by Type - Reports Cyber Terrorism Far-Right Extremism Monthly Update Tactics

Monthly Threat Update December 2021

Solutions Annual Review 2021
Annual Update Articles by Type - Reports

Solutions Annual Review 2021

Monthly Threat Update November 2021
Articles by Type - Reports Monthly Update

Monthly Threat Update November 2021

Hospitality & High Streets – short guide to festive terrorism risk management planning
Articles by Type - Commentary Blog Threat Landscape

Hospitality & High Streets – short guide to festive terrorism risk management planning

Liverpool Women’s Hospital Taxi Explosion: Terrorism Post-Incident Report
Articles by Topic - Reports Islamist Extremism

Liverpool Women’s Hospital Taxi Explosion: Terrorism Post-Incident Report

Monthly Threat Update October 2021
Articles by Type - Reports Monthly Update

Monthly Threat Update October 2021

Murder of Sir David Amess MP: Terrorism Post-Incident Report
Articles by Topic - Reports Assessment Islamist Extremism

Murder of Sir David Amess MP: Terrorism Post-Incident Report

Monthly Threat Update September 2021
Articles by Type - Reports Monthly Update

Monthly Threat Update September 2021

9.11 Two Decades of Disruption docufilm
Articles by Topic - Commentary Islamist Extremism Webinar

9.11 Two Decades of Disruption docufilm