Insurance Linked Investments

Aon has again called for fronting specialist Clear Blue Insurance’s lawsuit against it, related to the reinsurance letter of credit (LOC) fraud perpetrated by Vesttoo, to be dismissed, calling it an attempt to distract from the depth of Clear Blue’s involvement with the insurtech and its own financial distress.

White Mountains has reported that its investment into the Outrigger Re collateralized reinsurance sidecar, that supports its re/insurer subsidiary Ark, generated the company slightly more in pre-tax income through the first-quarter of 2024, despite the firm’s investment in the sidecar being smaller this year.

Porch Group has filed a law suit in New York against China Construction Bank Corporation, over the Vesttoo reinsurance collateral fraud, accusing the massive Chinese bank of “enabling its personnel to perpetrate a colossal fraud” on the plaintiffs.

Nephila Capital, the insurance and reinsurance linked investment manager owned by Markel Group, has won a mandate from the Florida State Board of Administration during the first-quarter, to deploy $300 million into reinsurance through Arachne, a Bermuda based ILS structure, Artemis has learned.

The total yield of the catastrophe bond market in US dollars has risen by roughly 7% during the month of April, to reach a level of 12.8%, with slightly higher collateral yields plus an 11.5% recovery in insurance risk spreads the key drivers.

Leadenhall Capital Partners LLP, the London-headquartered insurance-linked securities (ILS) and reinsurance linked investment manager, has promoted long-standing Business Development specialist Paul Haig to Director and hired Lawrence Oyekunle as Director, Data Engineering.

Over the course of the last month, what had been an environment of catastrophe bond spreads tightening has shifted to one where spread widening has been seen through most of April and into the first week of May, which alongside more balanced supply and demand, some attribute at least in part to the latest hurricane […]

Broking giant Aon has announced the hiring of Will Allen, formerly of investment bank KBW and one of the co-founders of London Innovation Underwriters, to its Reinsurance Capital Advisory team where part of his role will involve raising capital to support Funds at Lloyd’s (FAL) and London Bridge ILS structures.

The European Securities & Markets Authority (ESMA) has now launched a formal call for evidence to support a review of the Undertakings for Collective Investment in Transferable Securities (UCITS) Eligible Assets Directive (EAD), including what assets should be eligible, with catastrophe bonds one class of assets named.

The year has begun strongly for Mt. Logan Re Ltd., the Everest Group owned and operated third-party investor capitalised reinsurance sidecar-like investment structure, as it received 64% more in ceded premium from its parent through the first-quarter.