Archive for May, 2022

The US weather service NOAA has just announced its forecast for the 2022 Atlantic hurricane season, and they are another organisation saying it is likely to see above-normal levels of tropical storm activity, with a 65% chance of an above-normal season in 2022.

Florida-focused property insurance company FedNat Holding Company has announced that it has secured a $15 million investment into its Monarch National Insurance Company subsidiary, which will now assume the rest of the group’s Florida policies.

Florida’s insurance carriers face one problem above all others, the fact that they are over-litigated and being badly affected by a litigious property insurance claims environment where fraud has been de rigueur.

Global reinsurance giant Swiss Re has returned to the catastrophe bond market in search of per-occurrence US hurricane protection, seeking to secure a $150 million slice of retrocession through a new Matterhorn Re Ltd. (Series 2022-2) issuance, Artemis has learned.

The June 1st Florida focused reinsurance renewals are expected to be very late, but prospects for rate increases are said to be particularly good, as analysts at KBW said they expect Florida property catastrophe rate increases well above the January 1, 2022 renewals’ low double-digit pace.

Hong Kong headquartered global reinsurer Peak Reinsurance Company (Peak Re) has raised its target for its first ever catastrophe bond, with the Hong Kong domiciled Black Kite Re Limited (Series 2022-1) issuance now aiming to secure up to $150 million of retrocession for the company.

Global reinsurance company SCOR has now secured $240 million of retrocessional catastrophe protection from its new Atlas Capital Reinsurance 2022 DAC (Series 2022-1) catastrophe bond, Artemis can reveal.

The 2022 Atlantic hurricane season continues to be forecast as likely to see a relatively significant amount of activity, with the latest forecast to be published from the UK Met Office calling for 18 named storms and 8 hurricanes to form.

Florida’s Legislature made progress on some of the property insurance reform bills that were heard by a committee yesterday, moving them on to the Senate, but the details underlying the reforms will matter for the reinsurance market and the prospects of meaningful change.

While the overall Bermudian reinsurance and insurance-linked securities (ILS) market is still in the early stages of its environmental, social and governance (ESG) journey but making steady progress, there is work to do on protection gap related issues, as the Bermuda market lags behind competitors, a new report suggests.