Archive for May, 2009

You would have thought after the last hurricane season that oil companies with offshore rigs or refineries in the Gulf of Mexico would have been wise to the dangers of not being covered in time for the tropical storm and hurricane season. It seems that the same coverage problems that came to light last year […]

It’s now three days until the official start of the Atlantic hurricane season and the season has got off to an early start with the formation of the first tropical depression yesterday. For Florida policymakers this means it’s time for another try at getting some new legislation in place to provide a means to increase […]

The 2009 Atlantic hurricane season is due to start on the 1st June. As if to prove the unpredictability of the weather, Mother Nature has chosen to start things a little early this year and the first tropical depression of the season has formed off the east coast U.S. The storm is currently carrying winds […]

Great article on Bloomberg this morning which should interest you all. It’s specifically about the continuing come back being made by catastrophe bonds this year and how the signs of health are returning to the market place. Given that the initial forecasts for the year were for around $1.5b worth of bonds to be issued […]

Moody’s has placed the notes of Genworths‘ River Lake Insurance Company IV Ltd. subordinated notes on review direction uncertain. The River Lake IV transaction was initiated by Genworth to provide it with reserve relief under Regulation XXX. While not strictly a life insurance securitisation, the deal was supposed to provide Genworth with a source of […]

Finally the International Swaps and Derivatives Association (ISDA) has published a confirmation template which standardises catastrophe swaps referencing U.S. wind events. The document has been discussed for around two years so the market is sure to welcome this. You can download the ISDA U.S. Wind Event Confirmation Template here. By providing assistance in standardisation of […]

Swiss Re is marketing another catastrophe bond on behalf of it’s subsidiary Swiss Reinsurance America Corp. Calabash Re III Ltd., the third issuance under the Calabash Re SPV, is a $100m bond designed to cover Swiss Re America from risks ceded to them through the reinsurance cover they provide to P&C insurer Ace Limited. The […]

USAA’s 13th catastrophe bond in the Residential Re series, Residential Reinsurance 2009 Ltd. has been in demand. The deal started life as $150m, but due to  what is assumed to be a combination of investor demand and USAA sensing the opportunity to transfer more risk to the capital markets, it’s been increased to $250m. Originally […]

The Atlantic Tropical Storm and Hurricane Season officially starts on the 1st of June. With less than two weeks to go we thought we’d give you an update on how some of the best respected forecasters see the threat from the 2009 season. It seems that the Atlantic tropics could become active sooner than we […]

It’s no surprise to read in Business Insurance that sales of catastrophe derivatives in the run up to the Atlantic storm season are strong, with volumes traded up and prices up to as well. Demand is being helped by the general scarcity of reinsurance and the fact that catastrophe bonds are currently an expensive option. […]