Archive for December, 2014

Clive O’Connell, the lead partner of law firm Goldberg Segalla’s London office, has been appointed a member of the Board of Directors of insurance-linked investments manager Twelve Capital (UK) Ltd.

Life, mortality and longevity focused reinsurance firm Pacific Life Re has provided life, annuities and pension risk transfer insurance firm Rothesay Life with longevity reinsurance protection covering £1 billion of its liabilities during 2014.

Bermuda-based hedge fund strategy reinsurer Third Point Re is to close its ILS fund, the Third Point Reinsurance Opportunities Fund Ltd., folding some of its cat management resources and making an investment into Hiscox’s Kiskadee Investment Managers.

Barbican has launched a new third-party capital backed Special Purpose Syndicate (SPS), which will underwrite a whole account quota share reinsurance contract, of property, specialty, marine, aviation and transport risks, backed by Credit Suisse ILS funds.

The International Association of Insurance Supervisors (IAIS) estimates that for every year that longevity risk is underestimated by risk holders, such as pension funds, insurers or reinsurers, the liability to them could be increasing by as much as $1 trillion.

The latest independent review from ClimateWise, which was prepared by PwC, highlights the important role that insurance, reinsurance and insurance-linked securities (ILS) can play in the financial fight against the perils of climate change.

The ongoing situation surrounding Florida primary insurer American Strategic Insurance’s Gator Re Ltd. catastrophe bond has deteriorated further, as mounting catastrophe losses have risen further towards the cat bond’s attachment point.

Pressure on the reinsurance market and its incumbent traditional players comes from all angles, with analysts from Bernstein Research citing top and bottom line margin pressure, along with both secular and cyclical pressures on the market and business models.

Global insurance and reinsurance firm XL Group has approached competitor Catlin Group with an offer that looks part acquisition, part merger, which if successful would see a new top 10 player appear in the global re/insurance market.

The month of November saw strong trading activity in the secondary market for insurance-linked securities (ILS) and catastrophe bonds as investors looked to capitalise on yields from short-dated cat bond notes which are soon to mature.