Archive for July, 2014

A new CoreLogic storm surge study and recent findings from an analysis performed by Reuters share the same perception, that storm surge from coastal flooding is likely more prevalent than the reinsurance and insurance-linked securities markets think.

Average insurance-linked securities (ILS), reinsurance linked investment and pure catastrophe bond fund returns continued to track well below average in June, returning an average 0.22% for the month resulting in a below average first-half of 2014.

AlphaCat, the third-party reinsurance capital and insurance-linked securities funds unit of Bermuda domiciled insurance, reinsurance and alternative capital manager Validus Holdings, continues to make a positive contribution to the firm.

The longevity risk exposure and liabilities of many defined benefit pension plans are set to jump once a new set of actuarial mortality tables are introduced during 2016, according to a consultancy.

Jay Fishman, Chairman and CEO of U.S. primary insurer The Travelers Companies, Inc., said in the firms Q2 earnings call this week that the abundance of reinsurance capital, from ILS and third-party sources, is having little effect on Travelers so far.

Global insurance and reinsurance firm Aspen’s collateralized reinsurance sidecar Silverton Re looks to have achieved 12% performance in the first six months of 2014, according to the firms quarterly results published yesterday.

An Aon Benfield report shows that economic losses from global natural disasters for the first six months of 2014 totaled $54 billion, roughly 49% below the 10-year (2004-2013) average of $106 billion.

The pressure on reinsurance pricing persists, as overcapacity both from new capital and traditional reinsurers remains a feature of the market, leading to an expectation that aggressive renewal targets may be seen later this year, according to Lancashire CEO Maloney.

Bermuda based reinsurance company Everest Re has continued to have success in attracting capital markets investors to its Mt. Logan Re collateralized reinsurance sidecar, adding another $50m of third-party capital to it during the second quarter.

The Indian insurance and reinsurance market is going through a stage of modernisation, with a number of initiatives seeking to better inform consumers, encourage foreign capital into the market and to ready the market for new product developments.