Insurance Linked Investments

More than 400 attendees joined us in New York for our seventh conference in the city on Friday 9th February and while those at  ILS NYC 2024 heard of a determination to sustain the improved market environment from industry experts, end-investors said that more than one year of evidence is required.

The US cyber insurance industry loss index launched by PERILS AG and CyberAcuView has been used for both a 144A cyber catastrophe bond and a cyber industry-loss warranty (ILW) transaction, the companies have said.

At a Vesttoo Chapter 11 bankruptcy case hearing, counsel for the official creditor committee said that in working to identify and trace funds remaining from reinsurance transactions implicated in the letter of credit (LOC) fraud, these investigations, which are ongoing, suggest funds were drawn from debtor structures and co-mingled, then used to pay company expenses.

Augment Risk, a growing risk capital and reinsurance solutions broker, said it aims to harness artificial intelligence technology alongside sophisticated models to underpin the insurance-linked securitization process to differentiate its new ILS broking and advisory offering.

The Florida State Board of Administration, which manages the states massive roughly $180 billion Florida Retirement System Pension Plan, has allocated $398 million to reinsurance and retrocession opportunities across three ILS managers in time for the January renewals.

Broking giant Aon has said today that it anticipates an “influx” of capital to the parametric risk transfer space in 2024, from traditional insurance, reinsurance and ILS fund sources.

Risk capital and reinsurance solutions broker Augment Risk has launched a dedicated insurance-linked securities (ILS) offering, as it looks to break into the market for matching insurance risk with institutional capital.

Nascent Group, an insurance management and reinsurance transformer company launched last year by Andre Perez, has launched a new collateral monitoring feature to facilitate “smoother and more transparent ILS transactions” to the benefit of fund managers and investors in the space.

Catastrophe bond funds were a bright spot in the alternative UCITS investment fund space in 2023, as cat bond funds expanded strongly at a time when the wider UCITS segment experienced approximately $38 billion in outflows, according to Kepler Absolute Hedge.

Over the course of full-year 2023, White Mountains has reported that its investment into the Outrigger Re collateralized reinsurance sidecar that supports its re/insurer subsidiary Ark, generated the company $69 million in pre-tax income.