Archive for August, 2014

The proliferation of risk models and technical tools for understanding risks in the reinsurance industry would lead you to believe that the market would become more efficient, but so far this is not the case, according to RenaissanceRe CEO Kevin O’Donnell.

Hawaii is being threatened by two hurricane landfalls in the coming days, as first hurricane Iselle makes its way towards a direct hit on Big Island, before hurricane Julio follows along just a couple of days later.

The world’s largest reinsurance firm Munich Re announced its quarterly results this morning, stating the need for continued price discipline and consistent cycle management in the competitive market environment, but that it remains on target for the year.

Tropical Storm Risk (TSR), the academic initiative which partners with re/insurance industry and science to provide tropical weather forecasts, is the second forecaster so far to increase their prediction for the 2014 Atlantic tropical storm and hurricane season.

Greenlight Re, the Cayman Islands domiciled, hedge fund manager David Einhorn and Greenlight Capital, Inc. backed reinsurance firm, has continued its approach of non-renewing contracts which it felt were mispriced at recent renewals.

German reinsurance firm Hannover Re, one of the world’s leading globally diverse reinsurers, said that in view of the soft market conditions it would concentrate solely on preserving the profitability and quality of its non-life reinsurance portfolio.

It is the turn of the largest reinsurance companies in the world to announce their results this week, beginning with global reinsurer Swiss Re who today reported quarterly results which, while missing analysts expectations, showed a change in strategy.

Eight Caribbean government members of the Caribbean Catastrophe Risk Insurance Facility (CCRIF) have become the first to purchase the new parametric excess rainfall insurance product developed by the CCRIF and global reinsurance firm Swiss Re.

Bermuda-based re/insurance firm Endurance Specialty Holdings has made an increased use of strategic reinsurance buying to protect itself, optimise the return of both its insurance and reinsurance books and to mitigate competitive market conditions.

Insurance and reinsurance focused rating agency A.M. Best is seeking comments from interested parties and market participants on a newly published draft criteria report titled “Rating Reinsurance/Insurance Transformer Vehicles.”