Insurance firms have raised nearly $100 million for a fund to upgrade the island’s infrastructure.

The Bermuda Infrastructure Fund has now been officially launched in a bid to improve ports, docks, roads, bridges, industrial facilities and healthcare facilities.

David Burt, the Premier, said the move would also create jobs in the short-term and long-term.

It is the brainchild of Brian Duperreault, chief executive officer of American International Group, who said that the private sector needs to provide the financial impetus to invest in infrastructure improvements.

Mr Duperreault is supported in the venture by New Venture Holdings CEO Don Mackenzie and Arch Capital Group chief investment officer Preston Hutchings.

According to a press release, the trio have raised almost $100 million after “advocating on behalf of Bermuda’s future” through meetings with industry leaders.

Founding members of the fund are AIG, Arch, XL Catlin, Axis, RenaissanceRe, Hamilton Insurance Group, Argus and BF&M.

Mr Duperreault, who was born in Bermuda and founded Hamilton Insurance Group, said: “Don, Preston and I are delighted to be able to announce the formation of this fund, which represents an investment in Bermuda by the insurance and reinsurance industry.

“This has been a real team effort, driven by our shared belief in and commitment to Bermuda. It’s been my distinct pleasure to work with them on this project.

“I would be remiss in not giving Arch Capital Group a special mention, given their early and leadership commitment to this project.

“We’re particularly pleased that the companies supporting the fund are both local and international as it sends a clear signal that our entire sector wants Bermuda to succeed and prosper.

“As is the case in many countries, ageing infrastructure is a threat to growth and development. Here in Bermuda, Government’s goal of establishing new industries like insurtech depends on a sound infrastructure being in place. The Bermuda Infrastructure Fund is a potent vehicle to help achieve this goal.”

Mr Burt, who announced the plan for the fund last November, said today: “The establishment of the infrastructure fund is a vote of confidence in Bermuda and in the co-operative approach to governance that this Government has taken.

“The fund is important for Bermuda on two fronts: it supports the modernisation of Bermuda’s ageing infrastructure and will provide jobs for Bermudians in the months and years to come.”