Members of the Association of Bermuda Insurers & Reinsurers (ABIR) contributed $637 million in payroll to Bermuda-based employees in 2018, with the group’s aggregate direct economic impact to the island’s economy hitting almost $815 million.
The figures are according to the 14th annual member survey results, which includes data reported for the 2018 calendar year from 24 ABIR members.
The direct economic impact to the Bermuda economy of $814.8 million includes travel, business, charity giving, construction expenses and compensation paid to Bermuda-based employees.
As well as the $637 million in payroll, ABIR members in 2018 also contributed $6.5 million in charitable contributions, $93.4 million on construction, real estate, housing, and office space in Bermuda, $59.3 million on legal, accounting, actuarial, temporary services and other consulting services, and $18.7 million on hotels, airfare, restaurants, taxis, and catering.
President and Chief Executive Officer (CEO) of AXIS Capital and chair of ABIR, Albert Benchimol, said: “ABIR members continue to be the leading contributor of economic activity in Bermuda. ABIR members have proudly invested in training and development and the results are clear – they are reporting the highest share of Bermudian team members at their companies in the history of our 14-year survey, with record media salaries for Bermudians.”
When compared with 2017, the number of full-time staff employed by ABIR members increased by 35 to 1,530 in 2018, of which 1,135 were Bermudians, spouses of Bermudians, or permanent residents, which is up 4.4% on 2017. At 74%, the ABIR notes that the percentage of Bermudians employed in ABIR members’ Bermuda operations is at the highest level since 2009.
Furthermore, the median annual salary and benefits paid to Bermudians by ABIR member firms is now above $184,400, which is the highest since records began in 2007.
57 internships were provided to Bermudians by ABIR members in 2018, while educational scholarships in Bermuda by ABIR members grew in value to $1.6 million.
The ABIR notes that all members have licensed operating companies in Bermuda, with more than 58% having a holding company in Bermuda. The top five locations for global operations reported by ABIR members were the UK, the U.S., Switzerland, Ireland, and Luxembourg.
John Huff, ABIR CEO, commented: “ABIR members are proud of their investment — economic substance — in Bermuda’s economy. Bermuda is a world-respected platform for global business that welcomes top-quality corporate brands. As a global underwriting center, ABIR member companies are committed to delivering economic substance in Bermuda.”
