Archive for May, 2015

The recent comparisons that have been made between catastrophe bonds and sub-prime, or toxic, mortgage-backed securities, are unfair to the cat bond market, where to date the bundling of non-transparent risks is not an issue, according to John Seo.

Global insurance firm American International Group (AIG) is back in the catastrophe bond market with a Compass Re II Ltd. (Series 2015-1) deal, seeking U.S. wind reinsurance protection on a parametric trigger basis over a six month term.

PartnerRe’s shareholders now hold the keys to the reinsurance firms future, which will either be continuing as a standalone reinsurer owned by EXOR or merging with AXIS Capital, but key shareholders have reiterated that they prefer the all-cash offer from EXOR.

“To stand still” in an insurance and reinsurance market that us undergoing fundamental structural change, “is to fall behind”, say analysts at Keefe, Bruyette & Woods, echoing a message Artemis has delivered many times in the last few years.

Reinsurance broker Willis Re has this morning announced the launch of a new global syndicated reinsurance facility, aiming to provide cedents with broad protection against casualty catastrophe events related to liability portfolios.

The Australian Bureau of Meteorology’s confirmed yesterday that El Niño threshold levels have been reached in the tropical Pacific ocean for the first time since March 2010 and that it foresees a “substantial” event, which will likely impact insurance and reinsurance players.

On the 12th of May 1999, Artemis was launched in front of an audience of reinsurance and investment executives in Bermuda. The goal, to provide an online home for the emerging catastrophe bond, ILS and the capital market’s participation in reinsurance.

EXOR, the Italian investment firm backed by the Agnelli family, has increased its offer to buy PartnerRe by 5.8%, raising it to $137.50 per share, valuing PartnerRe at $6.8 billion. EXOR has also become the largest shareholder in PartnerRe, buying 9.32% of the reinsurance firm’s shares.

Alternative reinsurance capital and insurance-linked securities (ILS) is to feature as one of five key principles to be followed by the reinsurance division at newly joined XL Catlin, according to CEO of reinsurance Greg Hendrick.

A comprehensive, preliminary report on human-made or induced earthquakes has been published by the U.S. Geological Survey (USGS), revealing 17 new areas in eight states that experience increased seismic activity.