Archive for November, 2013

The inflow of capital from third-party and institutional investors, who are increasingly looking to regions such as Australia in search of new catastrophe reinsurance investment opportunities, is tipped to smooth the rate cycle for Australian insurance customers.

The annual economic costs from routine weather variance or weather volatility can far exceed the costs caused by natural catastrophes, according to a report showing the importance of weather risk management from insurer Allianz Global Corporate & Specialty SE.

Pension Insurance Corporation (PIC), a specialist provider of insurance and risk transfer solutions for defined benefit pension funds, announced today that it has recently acquired reinsurance to cover £1.4 billion of its own longevity exposure.

A new report from rating agency A.M. Best looks at the fortunes of the U.S. and Bermuda reinsurance market and concludes that reinsurers are currently stuck in the middle of two converging forces, abundant capital and rising retentions.

Insurers providing weather-index or parametric insurance policies in India are facing heavy losses due to the impact of cyclones on agricultural regions. Weather-index insurance firms may see loss ratios as high as 100% due to heavy crop losses, according to a report.

A new quarterly publication from the Bermuda Monetary Authority, the first edition of which was published yesterday, shows that Bermuda is increasingly being used as a domicile for insurance-linked securities (ILS) and catastrophe bond issuance.

Recently, two outstanding catastrophe bonds have seen impairments to the value of the collateral assets held in trust, which would eventually be used for loss payments or be returned to the cat bonds investors, putting investors at risk of a small loss of principal.

You can read every market news story and article, week ending 24th November 2013, here on the Artemis news blog. Subscribe to the weekly email newsletter updates and for your convenience here are the ten most popular news articles from the last seven days on Artemis.

Bermuda based reinsurer Everest Re Group Ltd.’s collateralized reinsurance sidecar, Mt. Logan Re, Ltd., has announced the appointment of experienced industry executive David Whiting to the position of Chief Underwriting Officer, effective from Monday.

A professor of civil engineering at Kansai University, who is also part of the Japanese government’s Central Disaster Management Council, estimates that a magnitude 7.3 earthquake beneath Tokyo could cost as much as $3 trillion dollars (300 trillion yen) in economic losses.