Best of Artemis, week ending 22nd October 2017

Here are the ten most popular news articles, week ending 22nd October 2017, 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.

Ten most viewed articles on Artemis.bm, week ending 22nd October 2017:

1. Alternative capital seen as 28% of reinsurance (~ $224bn) by 2021: EY
   The growth of alternative capital in reinsurance, catastrophe bonds and insurance-linked securities (ILS) as a whole seems assured, but how fast it will grow remains uncertain and many factors could stimulate more rapid, or slower growth, but EY estimates it could make up 28% of reinsurance capital by 2021, or around $224 billion.

2. Artemis ILS NYC 2018 tickets now available, register today
   Tickets are now on sale for our next New York conference, Artemis ILS NYC 2018. The event will be held on February 2nd, 2018 and will bring ILS industry experts, investors and other parties from across the insurance, reinsurance and risk transfer space to NYC for a day of thought-provoking discussion.

3. Hannover Re expects broad reinsurance price rise to 2015 levels
   Global reinsurance firm Hannover Re said at its recent investor day that following the recent catastrophe losses, caused by hurricanes Harvey, Irma, Maria and the Mexico earthquakes, the firm expects to see broad reinsurance price rises to levels equivalent to those last seen in 2015.

4. PCS puts Merck malware cyber loss estimate at $275m
   Property Claim Services (PCS) has published its first estimate for insurance industry losses from the Petya / NotPetya malware cyber attack that hit pharmaceutical giant Merck & Co. in June, putting the initial figure at $275 million.

5. XL to issue $150m Galileo Re 2017-1 cat bond, first deal since hurricanes
   XL Catlin and its subsidiaries are the first sponsor to return to the catastrophe bond market after the recent hurricane losses, according to sources, launching a $150 million Galileo Re Ltd. (Series 2017-1) transaction with pricing that looks a little higher than other recent similar multi-peril cat bond issues.

6. Trapped ILS collateral issue may be overstated, suggests David Flandro
   The fears of a substantial volume of ILS capital being trapped for too long so that it’s unable to be redeployed at the January 2018 reinsurance renewals, in light of recent catastrophe events, may be overstated, according to JLT Re’s David Flandro.

7. ILS capital able to replace market’s substantial hurricane losses: Moody’s
   Analysts at Moody’s expect recent hurricanes in the U.S. and the Caribbean to drive substantial losses for alternative capital providers, but the insurance-linked securities’ (ILS) sophisticated investor base is expected to be willing and able to replace any lost capital.

8. No longer alternative. ILS a partner to re/insurance: Bermuda Convergence
   At the ILS Bermuda Convergence 2017 event held this week, industry leaders explained the vital role that insurance-linked securities (ILS) and collateralized sources of reinsurance play in global risk transfer markets, seeing it as a partner to the traditional forms of protection.

9. USAA to sponsor its 30th cat bond, a $225m Residential Re 2017-2
   U.S. primary military mutual insurer USAA remains the most prolific of catastrophe bond sponsors and is back in the market for its 30th transaction, with a $225 million Residential Reinsurance 2017 Ltd. (Series 2017-2) multi-peril deal, seeking to expand its capital markets backed source of reinsurance.

10. Swiss Re puts Q3 catastrophe losses at $3.6 billion
    As had been anticipated, reinsurance firm Swiss Re has come out with the largest estimate of losses from third-quarter catastrophe events to-date, announcing a $3.6 billion hit from hurricanes Harvey, Irma and Maria and the earthquakes in Mexico of $3.6 billion after retrocession and before tax.

This is by no means every article published on Artemis during the last week, just the most popular, some of which were published over a week ago. There were 32 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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