Italian life insurers look to dynamic hybrids to reduce guarantees burden


Italian life insurers are experimenting with a new generation of dynamic hybrid products to reduce the burden of guarantees. Generali is at the forefront of this trend with a product that utilises a low-risk and a high-risk fund, linking them through a bi-directional mechanism of periodic rebalancing. This rebalancing mechanism seeks to ensure that the policyholder's initial capital is protected while maximising exposure to equity markets, in line with the individual policyholder's risk appet