Archive for May, 2021

Lloyd’s is said to be in “advanced discussions” with some major investors that are looking to use its insurance-linked securities (ILS) structure, the multi Insurance Special Purpose Vehicle (mISPV) named London Bridge Risk PCC Ltd.

While the catastrophe bond market has been first to experience investor-demand and capacity driven softening, as spreads have increasingly tightened on primary issues over recent months, this isn’t yet reading across to the entire collateralized reinsurance market at the mid-year renewal season, we’re told.

US primary insurance carrier Allstate has successfully expanded its new catastrophe bond issuance to the upsized target of $250 million, while at the same time the coupon for the  Sanders Re II Ltd. (Series 2021-1) notes was fixed at the low-end of reduced guidance.

A bill has been reintroduced to the United States Congress that again calls on lawmakers to codify that Federal Emergency Management Agency (FEMA), as the administrator of the U.S. National Flood Insurance Program (NFIP), sets a PML target each year and buys reinsurance and capital market risk transfer solutions accordingly.

ERS ILS Ltd., the dedicated insurance-linked securities (ILS) management division of specialty insurance and reinsurance player ERS, is set to benefit from climate-finance prediction modeling and risk transfer analytics services provided by AbsoluteClimo and AKR Zell.

Africa Specialty Risks, a pan-African focused reinsurance group, has announced the launch of a new parametric underwriting division with two key hires joining the company from recent roles at QOMPLX:UNDERWRITING.

A newly launched equity index of Lloyd’s specialty insurance and reinsurance players provides a proxy for their performance and offers a glimpse of something that perhaps in future could become tradable to help investors track market returns.

Acacia Holdings Ltd, a specialist reinsurance and retrocession investment company that is backed by private equity specialist Oaktree Capital Management, L.P., has announced the hiring of Lawrence Cheng as its Chief Underwriting Officer (CUO).

Analysts at Keefe, Bruyette & Woods conclude from market feedback that the upcoming June 1st reinsurance renewals are set to be “satisfactory but unspectacular” but that P&C reinsurance rate increases will persist, perhaps for more than two years.

New entrant to the catastrophe bond market St. Johns Insurance Company, a Florida and South Carolina focused homeowners carrier, has now secured the upsized $120 million of reinsurance target for its first Putnam Re Pte. Ltd. (Series 2021-1) cat bond.