Gallagher Re and the New York Mercantile Exchange today announced they have reached an agreement allowing NYMEX to list future contracts for real-time electronic trading of property damage risk exposures, including hurricane risk.
The trading of the Property Damage Risk contracts is subject to regulatory approval by the Commodity Futures Trading Commission, the two organizations said, noting that this marks the first time insurance and reinsurance risk will be actively traded on a real-time basis through an exchange offering clearing house facilities.
It is intended that the contracts will create a liquid market environment for the trading of property damage risk and facilitate the introduction of new capacity into the market, Gallagher Re and NYMEX said.
Continue Reading for Free
Register and gain access to:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.