Archive for April, 2021

The latest forecast update for the 2021 Atlantic hurricane season from Tropical Storm Risk (TSR) raises the teams prediction for number of named storms and hurricanes slightly, suggesting activity levels that could be up to 30% above the long-term average.

James Vickers, Chair of Willis Re International, has said that insurance-linked securities (ILS) investors have showed increasing maturity at recent reinsurance renewals, as demand proved strong at 4/1.

The CCRIF SPC (formerly known as the Caribbean Catastrophe Risk Insurance Facility), a parametric focused risk pooling and transfer facility for the Caribbean and Central America, is targeting further expansion in terms of its scope, as well as in terms of the range of risk transfer products it offers and to whom.

The Governments of Saint Vincent and the Grenadines have received $20 million in disaster risk financing support from the World Bank to aid their recovery from the recent eruption of the La Soufrière volcano, after a catastrophe contingent line of credit was triggered.

Eclipse Re Ltd., the Horseshoe managed private syndicated collateralised reinsurance note, private catastrophe bond issuance and reinsurance transformer platform, has completed its second issuance of this year, with an $8.7 million Eclipse Re Ltd. (Series 2021-02A) deal coming to light.

Reinsurance rates and pricing are expected to increase again at the upcoming mid-year 2021 June and July renewals, likely increasing further into 2022 as well, but by next year these rises may be losing momentum, Fitch Ratings believes.

The underwriting performance of reinsurance firms tracked by broker Willis Re improved in 2020, with the group reporting the first full-year improvement in normalised combined ratio since at least 2014, albeit still over 100.

NOAA has updated the concept of an ‘average’ Atlantic hurricane season, shifting the 30-year period forwards by a decade, which now means the benchmark average year contains two more named tropical storms and one more hurricane than before.

The number of privately placed catastrophe bond transactions issued in the first-quarter of 2021 is the most ever recorded for the period and ensured that once again, the dollar-value of issuance from these cat bond lite deals came in above the ten-year average for the period.

Investment adviser City National Rochdale (CNR) explained that strong demand was seen for industry-loss warranty (ILW) capacity at the January 2021 reinsurance renewals and with capacity for this market still seen as more limited, more of the same is expected for June.