Archive for October, 2014


Hannover Re’s LI Re deal sees it acting as private cat bond facilitator

The recent $10.37m LI Re (Series 2014-1) securitization of a segregated cell of reinsurance company Hannover Re's Bermuda segregated accounts insurer Kaith Re Ltd., was a property catastrophe insurance-linked security (or catastrophe bond) it transpires.When we wrote about the LI Re deal just over a week ago, we suggested that it read the full article →

Universal Insurance Holdings explores cat bonds for 2015 renewal

Universal Insurance Holdings, Inc. (NYSE: UVE), a U.S. primary property and casualty insurer, may look to the catastrophe bond market as a way to tap additional alternative sources of ILS capital as part of its 2015 reinsurance renewal.The insurers chief operating officer Jon Springer said that tapping additional sources of read the full article →

Find ways to use alternative reinsurance capital to cover new risks: XL’s CEO McGavick

Insurance and reinsurance companies need to find ways to use the influx of alternative capital, from third-party investments in reinsurance and insurance linked assets, to cover new and emerging categories of risk, according to CEO of XL Group Michael McGavick.McGavick, speaking to 200 insurance professionals at the 2014 Brokerslink Global read the full article →

Investors in PartnerRe’s Lorenz Re sidecar receive growing income

Bermuda based reinsurance firm PartnerRe Ltd. has returned a larger amount of capital to investors in its fully-collateralized reinsurance sidecar vehicle Lorenz Re. PartnerRe's Q3 report shows that almost $10m has been returned to investors this year.For the third-quarter PartnerRe reports that it returned net income of $4.92m to non-controlling read the full article →

Arch results show Watford Re’s combined ratio improving

The latest quarterly results from Bermuda-based insurance and reinsurance group Arch Capital show that its new venture Watford Re, the sidecar-style, third-party financed, hedge fund style reinsurer, has improved its performance in the last quarter.Watford Re's results for its first full quarter of operation showed the costs associated with starting read the full article →

AlphaCat again grows third-party reinsurance capital income to Validus

Yet again Bermuda domiciled insurance, reinsurance and alternative capital manager Validus Holdings shows that the focus on its AlphaCat third-party capital and insurance-linked securities funds unit is paying off as it writes more business and brings in more income.The AlphaCat unit manages a number of ILS funds and fully-collateralized reinsurance read the full article →

AXIS Re Ventures grows value of third-party capital to $61.6m

Bermuda headquartered insurance and reinsurance group AXIS Capital Holdings has increased the value of third-party investors non-controlling interests in its reinsurance capital management unit, AXIS Re Ventures, by 17% to $61.625m in Q3.At the end of the first-half, AXIS reported that non-controlling interests, which are the third-party investors share in read the full article →

Aspen’s Silverton Re sidecar nears $80m as third-party value grows

Global insurance and reinsurance firm Aspen’s collateralized reinsurance sidecar vehicle Silverton Re has increased the value of its long-term debt, which was issued to third-party investors, to $64.5m which is up 15% in the third-quarter.Added to the $15m of Aspen's capital which it contributed to the Silverton Re sidecar at read the full article →

XL’s McGavick likes the look of a capital agnostic reinsurance future

Michael McGavick, CEO of insurance and reinsurance firm XL Group, is looking forward to a reinsurance marketplace of the future, reshaped by new and alternative capital, resulting in a more agnostic approach to matching risk and capital for XL's clients.McGavick typically has an insightful and useful view on the market read the full article →

Big primary insurers track reinsurance trends, ILS & alternative capital

As you'd expect, large U.S. primary insurers are monitoring emerging trends in the reinsurance marketplace, particularly the growth of alternative capital and ILS, the emergence of new reinsurance structures and the reduction in reinsurance pricing.Two in particular are worth watching as they have both been sponsors of catastrophe bonds in read the full article →