mortality bond

Insurer AXA Global Life hailed the completion of its new mortality bond issuance Benu Capital Limited as an innovative transaction providing it with capital markets backed collateralized mortality reinsurance protection, the largest such deal since 2007.

For mortality linked catastrophe bonds, such as AXA Global Life’s €285m Benu Capital Limited deal that has recently completed, uncertainty as well as the potential for unmodelled risk impacts are always a factor.

AXA Global Life’s excess mortality catastrophe bond transaction Benu Capital Limited has upsized, as was expected, to a total size of €285m, as investors showed a greater desire to allocate capital to the higher risk and return layer of mortality risk.

The Benu Capital Limited extreme mortality catastrophe bond, which is being brought to market on behalf of sponsoring insurer AXA Global Life, looks like it may upsize due to investor demand while the pricing indication has moved towards the upper end of guidance.

AXA Global Life is seeking a source of fully-collateralized reinsurance coverage for excess mortality events from a catastrophe bond structure with a newly launched €250m transaction named Benu Capital Limited.

According to Reuters, French insurance group AXA is marketing a new 144A mortality catastrophe bond transaction, as it seeks to secure capital markets reinsurance protection for large increases in mortality experience under its life insurance portfolio.

French reinsurer SCOR recently completed its first non-life Atlas catastrophe bond issuance, the extreme mortality-linked Atlas IX Capital Limited (Series 2013-1). Aon Benfield Securities, the capital markets and investment banking division of the reinsurance broker, structured the deal and acted as a bookrunner.

French reinsurer SCOR has successfully completed its latest catastrophe bond issuance, a mortality linked deal issued through Irish limited company Atlas IX Capital Limited The transaction provides SCOR with a multi-year source of fully-collateralized retrocessional reinsurance for extreme mortality events such as pandemics.

French reinsurer SCOR has made some structural changes to its latest catastrophe bond issuance, the extreme mortality-linked Atlas IX Capital Limited (Series 2013-1), at the last-minute and has pulled one tranche of notes completely from the issuance while increasing the size of the other.

Capital markets and third-party investors have shown their approval of the first mortality-linked catastrophe bond of the year, Atlas IX Capital Limited (Series 2013-1) an extreme mortality insurance-linked security sponsored by French reinsurer SCOR, helping it to grow in size and pushing pricing expectations down.