Lloyd’s seeks expanded ILS approvals for London Bridge Risk PCC
The Lloyd’s insurance and reinsurance market is understood to be in active discussion with financial market regulators over an expansion of the regulatory approvals for its insurance-linked securities (ILS) structure London Bridge Risk PCC. Lloyd’s launched the vehicle over a year ago now and the London Bridge Risk PCC Ltd. structure was approved by regulators […]
TWIA board votes for $2.04bn reinsurance & cat bond program for 2022
The Board of the Texas Windstorm Insurance Association (TWIA) has voted to adopt a multi-model view of risk for 2022, with its newly derived 1-in-100 year probable maximum loss driving a decision to secure a roughly $2.04 billion tower of reinsurance and catastrophe bonds for 2022. TWIA’s Board met yesterday to discuss the Association’s approach […]
Brazil publishes “Letra de Risco de Seguro” rules for ILS securitization
The Brazilian government has published new legislation in its official gazette for what are being termed “Letra de Risco de Seguro”, or LRS and translates to Letter of Insurance Risk, which are insurance-linked securities (ILS) laws, as the country looks to encourage risk transfer and reinsurance to the capital markets. We’ve explained before that Brazil’s […]
NCIUA to close Cape Lookout Re 2022 cat bond at $330m in size
The North Carolina Insurance Underwriting Association (NCIUA) just missed the revised upper-end target for its new Cape Lookout Re Ltd. (Series 2022-1) catastrophe bond issuance, with the deal eventually pricing to offer the insurance pool $330 million of reinsurance protection. At launch, the NCIUA was seeking $300 million or more in collateralized reinsurance protection from the […]
ILS can help London maintain cat portfolios as retreat continues
As many Lloyd’s and London market insurers retreat from the catastrophe space, amid elevated losses and the uncertain but increasing impacts of climate change, some underwriters could look to alternative reinsurance capital sources to help maintain their cat portfolios. Insurance and reinsurance broker Howden’s London Market Appetite survey, published today, shows that with the exception […]
Tomoni Re cat bond seeks $240m of cover for MS&AD insurers
A new catastrophe bond issuance has been launched to benefit two Japanese insurance carriers owned by MS&AD Insurance Group Holdings, with the Tomoni Re Pte Ltd. (Series 2022-1 & 2022-2) transaction aiming to secure the sponsors a multi-year source of collateralized Japanese typhoon and flood reinsurance protection. The ultimate beneficiaries of the reinsurance that the Tomoni […]
Congratulations to our alumni, co-founder of Reask, on winning Catastrophe risk modelling solution of the year by ERM
The winner of catastrophe risk modelling solution of the year has used cutting-edge technology to develop a novel technique that is showing potential to fill growing protection gaps against natural catastrophes. Metryc, a global tropical cyclone parametric calculation agent from risk modelling firm Reask, was launched in 2021 and already has clients. One of InsuranceERM‘s independent […]
Goldman Sachs forecasts reinsurance hardening through to 2024
Analysts at Goldman Sachs have forecast that a combination of higher underlying general inflation and the impact of climate change will drive a further hardening of the reinsurance market through 2022 to 2024, with ROEs improving to or above their targeted range. The firms notes that the reinsurance cycle has lagged behind the primary insurance […]
Extreme weather drives up natural catastrophe losses
October’s hail storm in eastern Australian states and other major catastrophes globally led to $US116 billion ($162 billion) in insured losses last year, the third highest since 2011, according to estimates from reinsurance broker Gallagher Re. Gallagher Re says a series of extreme weather events in the US and worst ever floods in Europe were […]
Hannover Re’s aggregate XoL retro cover shrinks by almost 50% at Jan renewal
For 2022, the size of Hannover Re’s aggregate excess-of-loss (XoL) worldwide retrocession reinsurance layer has decreased by almost 50% to approximately €113 million, as the German reinsurer navigated more challenging retro market conditions at the January 1st renewals. As forecast towards the end of last year, aggregate retro capacity was harder to source and more […]