Archive for January, 2019

The alternative reinsurance capital market showed evidence of increasing rationality at the key January 1st 2019 renewals, according to analysts at Peel Hunt, with a “flight to quality” also noted as being underway in some corners of the ILS fund market.

A re-pricing of retrocessional reinsurance capacity following the significant losses of the last two years is set to drive higher reinsurance costs over the course of 2019, as reinsurer seek to pass on higher retro prices to insurers, according to Credit Suisse.

Capital market investors that participate in the insurance-linked securities (ILS) or reinsurance linked investing space are increasingly asking questions about the potential impacts climate change could have on the risk landscape.

Pacific Gas & Electric Co’s (PG&E) liability insurance tower is still expected to face a total loss in the face of significant claims for wildfire damages, despite the utilities impending bankruptcy status.

Insured losses caused by hurricane Michael’s impacts in Florida, based on claims paid data collected from insurers by the Florida state insurance regulator, have now risen to over $5 billion, which is a near 25% increase in around six weeks.

Barbican Insurance Group, the Lloyd’s and London underwriting focused re/insurer that writes business on behalf of some third-party capital investors, has created a new role of Head of Reinsurance within its Syndicate 1955 and announced two other promotions.

Global reinsurance firm Swiss Re has reported an expected $1.3 billion major claims burden from natural catastrophe and man-made losses during the fourth-quarter of 2018, but loss creep from Japanese typhoons boosted the tally by $320 million.

The insurance-linked securities (ILS) market continued down its growth path in 2018 with both peril region and product diversification, and, according to Janita Burke and Sherman Taylor of Estera’s Bermuda office, more of the same is expected in the year ahead.

Global property catastrophe reinsurance rates rose just 1.1 % across the market at the key January renewals, but there considerable variation in pricing across region and how loss affected or perceived as under priced an account was, according to Guy Carpenter.

U.S. primary insurer Kemper Corporation said that it expects to recover around half of its fourth-quarter 2018 catastrophe losses from its reinsurance providers, with the majority to be received through its catastrophe aggregate cover.