Best of Artemis, week ending 10th January 2021

Here are the ten most popular news articles, week ending 10th January 2021, covering catastrophe bonds, ILS, reinsurance capital and related risk transfer topics. To ensure you never miss a thing subscribe to the weekly Artemis email newsletter updates or get our email alerts for every article we publish.

Ten most read articles on Artemis.bm, week ending 10th January 2021:

1. Reinsurance rate rises may be “more pronounced” at April, June & July renewals
   With reinsurance rates and pricing having increased at the key January 2021 reinsurance renewals, there is now an expectation that future renewals this year should follow-suit, with some saying rate rises may be even “more pronounced.”
2. Record catastrophe bond year ends with busy Q4 2020: Report
   Catastrophe bond issuance reached record levels in 2020 and the busy year was topped-off with a record fourth-quarter as well, as the market demonstrated its resilience and ability to expand its relevance even under ongoing pandemic conditions, according to the latest report and data from Artemis.
3. Almost $20bn of reinsurance capital raised, more to come in 2021: Flandro
   Close to US $20 billion of new capital was raised by the global reinsurance market and new start-up entrants in 2020 and there is more to come in 2021, as the need for capital persists, according to David Flandro of HX Analytics.
4. On complex renewals, non-concurrency & the need for tech in reinsurance
   The January 2021 reinsurance renewals were a more complex affair, which resulted in a trend to more non-concurrency in placements, according to broker Guy Carpenter. Which we believe suggests a need for the reinsurance market to embrace modernisation in the renewal process sooner, rather than later.
5. MS Amlin behind Phoenix 1 Re, the first Asian cat risk focused sidecar
   It turns out that MS Amlin was the sponsor behind the recently completed Phoenix 1 Re Pte. Ltd. (Series 2021-1) collateralised reinsurance sidecar transaction, which appears to have been the first sidecar to be solely focused on Asian property catastrophe risks.
6. What the US Capitol riots mean for re/insurance and ILS interests: Interview
   We spoke with Tom Johansmeyer, Head of PCS, to discuss the rioting and civil disturbance seen at the US Capitol buildings on January 6th 2021.
7. Retrocession program oversubscription rife after 1/1 renewals
   With the January 2021 renewals of reinsurance and retrocession programs supposed to be allocated, signed and all but completed by now, we’re told that this year there is still more work to do in working out shares of certain layers of retro towers.
8. Hudson Structured backed SPAC Kairos prices 20% upsized IPO
   Kairos Acquisition Corp., the new insurance, reinsurance and insurtech focused Special Purpose Acquisition Company (SPAC), or blank check company, that Hudson Structured Capital Management Ltd. is behind, has increased the size of its initial public offering by 20% to raise $240 million.
9. Quota share shift matters more than excess-of-loss rates in 2021: Barclays
   A shift towards underwriting more reinsurance business on a quota share basis could matter more for the forward-profits of many large reinsurers in 2021, than the lower-than hoped for rate increases in excess-of-loss treaty pricing, analysts at Barclays said in a report.
10. “Time to act” as climate role in disaster losses increases: Jeworrek, Munich Re
    It is time for the world to act on climate change as it will play an increasing role in disaster losses, Torsten Jeworrek of reinsurance company Munich Re warned today.

This is not every article published on Artemis during the last week, just the most popular, some of which were published over a week ago. There were 35 new articles published in the last week. To ensure you always stay up to date with Artemis and never miss a story subscribe to our weekly email newsletter which is delivered every Wednesday.

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