MISSISSIPPI GULF COAST — The Mississippi Windstorm Underwriting board of directors, better known as the Wind Pool Board, just completed the purchase of $815 million in reinsurance coverage for the upcoming year.
Wind Pool Board member Mark Cumbest, broker-owner of Cumbest Realty Inc., said, “I am delighted that we were able to purchase an additional $65 million in coverage for the same price we paid for coverage last year. Last year we paid $69 million for $750 million in coverage. This year we paid the same amount for $815 million of coverage.”
Cumbest was among four Wind Pool representatives who went to London recently. He was the only representative from the Gulf Coast.
“In a four-day period we meet with 25 different organizations connected with Lloyd’s of London. Fortunately our efforts paid off in a big way. They were interested in hearing that we are enforcing our building codes, that we are building back better, safer and stronger, and that policy holders have an incentive to have their Wind Pool premiums reduced by taking advantage of the benefits of retrofit mitigation credits and the Building Code Effectiveness Grading Schedule, which can reduce premiums by up to 30 percent.
“The two main reinsurance markets are Lloyd’s of London and the Bermuda reinsurance companies. Many people don’t realize that Bermuda’s number one industry is not tourism, it’s reinsurance.”
This was Cumbest’s second trip to meet in London. He attended the meetings there in 2009, and met with the Bermuda companies in 2010. Cumbest was appointed to the board by Gov. Haley barbour in March 2007 as his Gulf Coast Business Person appointment as set out in the most recent Wind Pool legislation, House Bill 1500.
Source: Cumbest Realty Inc.