Archive for December, 2022

Insurance and reinsurance broking group BMS has now secured a growth investment of up to £355 million from Eurazeo, a global investment company with €32.4 billion in assets under management.

Global reinsurance giant Munich Re is revisiting its relationship with capital market investors in its collateralized reinsurance sidecar vehicle for 2023, with a first tranche of Eden Re II notes issued, albeit at smaller size than previous years.

Due to the range of influences and factors affecting catastrophe bonds and insurance-linked securities (ILS) this year, Nelson Seo, Co-Founder and Managing Director of Fermat Capital Management, believes this could be the best ILS investment environment ever.

The outlook for the end of year reinsurance renewals may not be saved by a cavalry of ILS capital, coming in at the last minute to fill holes in programs this year, but our sources suggest pockets of successful capital raising from investors are being seen, allowing some to capitalise on the 1/1 rate opportunity.

Many of the Seaside Re private catastrophe bond transactions that were issued by German reinsurance firm Hannover Re’s segregated accounts vehicle, Kaith Re Ltd. have seen their maturities extended and the entire Series 2022 group of cat bonds have now been extended for the first time.

Vantage Risk, the Bermuda headquartered insurance and reinsurance company, has put together close to $1 billion of capital for deployment into property catastrophe reinsurance opportunities around the 1/1 2023 renewals, using its AdVantage collateralized insurer class of company.

The New Zealand Superannuation Fund (NZ Super Fund), one of the government pension investment providers, has once again grown its investments linked to insurance and reinsurance over the past year, with an increase in allocation evident across all of the strategies it invests in.

American Family Mutual Insurance Company, or AmFam as it is abbreviated, is hoping to upsize its latest catastrophe bond issuance, with the new Four Lakes Re Ltd. (Series 2022-1) multi-peril deal now targeting up to $125 million of reinsurance protection for the carrier.

The Progressive Corporation has significantly reduced its loss estimate for hurricane Ian, lowering it by $400 million to $1 billion, which implies the insurer will be making a smaller reinsurance recovery than it initially anticipated.

Sompo International, the global P&C insurance and reinsurance arm of Sompo Holdings, is aiming to upsize its new Sakura Re Ltd. (Series 2022-1) catastrophe bond by as much as 50%, with the target now being for up to $150 million of notes to be issued.