Archive for October, 2015

There may be trouble ahead and for reinsurers no amount of moonlight or music will change their prospects, while the reinsurance market remains awash with capital and capacity, warns rating agency A.M. Best.

A new insurance-linked investment product has been launched by global alternative investment manager Dragon Fire Capital. The product sits at the convergence of insurance-linked securities (ILS) and liability-driven investments (LDI), providing tailored relatively uncorrelated returns.

Hurricane Patricia has intensified rapidly into one of the strongest Category 5 storms on record in the region, threatening a devastating blow to Mexico when it makes landfall late on Friday and with the potential to trigger the MultiCat Mexico Ltd. (Series 2012-1) Class C catastrophe bond notes.

New Paradigm Group, the Florida based parametric specialist program manager that sells parametric insurance and reinsurance, backed by Allianz as well as third-party capacity providers including ILS players, has launched a new product named Industry Parametric Protection (IPP).

Leading reinsurer Swiss Re has brought to light the potential for unprecedented insurance industry losses from three historical European windstorms if they occurred today, underlining that the costs to the insurance and reinsurance industry would be extremely significant.

The insurance and reinsurance industry loss from the Tianjin port chemical storage facility explosions in China could help to moderate price declines at the all-important January reinsurance renewal season, according to J.P. Morgan Cazenove analysts.

Read our latest on Hurricane Patricia here. Hurricane Patricia formed this morning off the Pacific coast of Mexico. With sustained winds of 85mph currently the forecast calls for Patricia to strengthen towards a Cat 3 or stronger landfall, perhaps putting the Class C notes of the MultiCat Mexico Ltd. (Series 2012-1) catastrophe bond at risk.

Large European insurance groups’ reinsurance buying habits continue to become more centralised, resulting in the retention of more premiums to stimulate organic growth opportunities, according to S&P.

The latest Guernsey domiciled reinsurance vehicle to be launched by ILS investment manager Credit Suisse Asset Management has now been rated. Humboldt Re Limited, launching with CHF 500 million of capital, received an A- rating from A.M. Best.

Bermuda-headquartered insurance-linked securities (ILS) management, servicing, transformation and fronting specialists Horseshoe Group, have announced the appointment of Kathy Garrigan as Senior Vice President and Actuary, Head of Consulting Actuarial Services.