Abstract
The concept of alternative risk transfer (ART) defies a precise definition. One reason for this is that the range of risk products that can reasonably be defined as ART has expanded over time as product innovation continues. ART is not one product, but rather a way of doing business. It is generally accepted that there are two segments in the ART market—risk transfer through alternative carriers and risk transfer through alternative products (Swiss Re 2003). The market for alternative carriers (i.e., risk-bearers) consists of self-insurance, captives, risk retention groups, and pools. Alternative products include finite risk reinsurance, runoff solutions, committed capital, multiline, multiyear products, multitrigger programs, structured finance and new asset solutions, and capital market solutions for weather risk.
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20.8 References
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Hartwig, R.P., Wilkinson, C. (2007). An Overview of the Alternative Risk Transfer Market. In: Cummins, J.D., Venard, B. (eds) Handbook of International Insurance. Huebner International Series on Risk, Insurance and Economic Security, vol 26. Springer, Boston, MA. https://doi.org/10.1007/978-0-387-34163-7_20
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