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AkinovA (London), the provider of an electronic marketplace for the transfer and trading of re/insurance risk, has donated Insurance Linked Security assets to global insurance technology standards organization ACORD (Pearl River, N.Y.), which will be available to ACORD members as part of the ACORD Data Standards and Architecture.
The donated assets include data definitions and collection mechanisms related to cyber and catastrophe risk transfer for the re/insurance marketplace, as well as regulator-approved sample contracts and policies which will be used to guide the development of ACORD’s Global Reinsurance and Large Commercial Standards, AkinovA reports. These instruments include an innovative modularized contract structure and easily accessible summary of all key price-relevant variables.
AkinovA developed these assets as part of its overall mission to grow the overall size of the re/insurance market by enabling new participants to enter, helping existing participants to transact more business, and creating an effective secondary market for the re-trading of re/insurance risks, bringing together third-party news, data and analytics from its users and partners.
“In the global insurance ecosystem, standardized data exchange is, and will continue to be, a key enabler of material growth across all lines of business,” comments Bill Pieroni, President and CEO, ACORD. “We were impressed to see that AkinovA truly understands that standards are key to support sustainable, profitable growth. Their efforts to enable a secondary market to trade risk, and to handle more dynamic emerging lines—such as cyber- and climate-related risk—will benefit our members and the clients they serve.”
ACORD Standards are widely used for data exchange throughout the global insurance industry, with one third the world’s premiums written by ACORD members. ACORD messages are exchanged daily between insurers, reinsurers, brokers, agents, and others in more than 100 countries. Implementation of ACORD Standards has been shown to improve the speed, accuracy, and efficiency of data exchange.
Encouraging the Use of Standard Protection Instruments
“While the industry will always have a need to support bespoke contracts, we can also encourage the use of standard protection instruments by making them more accessible and cost-efficient,” comments Henri Winand, co-founder and CEO, AkinovA. “As a trusted, non-threatening, third-party infrastructure provider to all those who wish to use it, we have been able to rapidly iterate and integrate feedback from a range of competitors happy to share information with us.”
“AkinovA invested significant time and legal effort to integrate content and feedback from members of its growing network,” Winand adds. “This included working closely with members of AkinovA’s unique Ecosystem of Founding Partners program, members of its Advisory Board, Industry Advisory Board and broader industry support from brokers, re/insurers, actuaries and law firms. Over time, AkinovA expects this library of standard protection instruments to grow to other lines of business across the insurance linked securities market and beyond. This is the start of an exciting journey.”