Stonybrook Risk Management, a wholly-owned subsidiary of Stonybrook Capital and licensed reinsurance intermediary, has completed a parametric insurance transaction for a Caribbean-based client.
The company explained, buyers in hurricane-prone areas are finding it increasingly difficult to hedge assets using traditional insurance products. This has spiked interest towards parametric insurance.
Stonybrook leveraged its parametric expertise to design a product without traditional deductibles and exclusions, and secured terms to respond within days to weeks post-event.
The company boasts a history of bringing alternative risk products to its clients and utilising the most efficient capital.
Butzbaugh commented, “Stonybrook was able to replace our client’s traditional insurance with a stand-alone parametric structure with rates and security competitive with the traditional marketplace.”
Paul Kneuer, Partner and Board Member, Stonybrook Capital, added, “Our creative solution addressed the buyer’s particular coverage need more efficiently than the indemnity insurance market could. Stonybrook looks to meet our clients’ needs across all possible markets to find the best outcomes.”
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