Howden Re has created an International Alternative Solutions practice with parametric capability for clients.

It says the operation combines reinsurance, analytics, parametric and capital markets expertise to develop innovative risk and capital solutions.

Zurich-based Peter Steiner has been appointed MD of parametric solutions. He and Kanika Anand join from Howden’s climate risk and resilience practice.

“Clients across Europe, Asia and other international markets are increasingly looking for solutions that go beyond traditional risk transfer. Parametric is an important part of that proposition,” Howden Re International CEO Massimo Reina said.

“Adding Peter and Kanika’s expertise gives us another way to address complex and underserved risks, while our international platform allows us to apply that expertise across markets, sectors and client needs.”

Led by Hamburg-based Alexander Roth, the International Alternative Solutions practice spans structured reinsurance, climate science, data analytics, product design, portfolio structuring, pricing, capital markets and placement.

It will support clients across agriculture, energy, infrastructure, natural capital, construction, travel, events and specialty risks.

Mr Steiner says insurers, companies, governments and investors are increasingly seeking solutions that deliver “certainty, transparency and rapid access to capital” following a loss.

“The boundaries between insurance, reinsurance and structured risk transfer continue to converge. Parametric structures can help provide greater confidence around projected cash flows, investment returns and financing structures,” he said.