Insurance Linked Investments

Vesttoo, the insurtech that uses proprietary artificial intelligence and machine learning to help companies assess and transfer risks to the capital markets, is expanding into the Japanese market and has hired experienced reinsurance industry executive Kunihiko Iinuma to lead a new office there.

With environmental, social and governance principles (ESG) growing in relevance in Bermuda, Sherman Taylor, Ocorian’s Head of Capital Markets in the country, has shared his views on the matter as part of Artemis’ Q2 2022 Catastrophe Bond & ILS Market Report.

Specialty insurance and reinsurance player Brit Ltd. reported delivering more income to its third-party capital partners and investors in its ILS-style reinsurance structures through the first-half of the year in 2022.

The market for natural catastrophe reinsurance underwriting remains “very hard” at this time, according to Swiss Re’s CEO Christian Mumenthaler, who also noted today that alternative capital is “not as keen” as it was to enter there.

Reinsurance giant Swiss Re has appointed well-known UK based insurance-linked securities (ILS) focused executive Andy Palmer as the new CEO of its Swiss Re Capital Markets Limited business.

RenaissanceRe is managing the volatile ceded reinsurance and retrocession market by leveraging its ability to cede more risk to its managed capital and so buy less on the open market, according to comments made by its CEO.

The pull-back from property reinsurance at Bermuda headquartered insurance and reinsurance firm AXIS Capital appears evident in its latest results, with a drop in premiums written by the reinsurance business, while there was also a decline in fee income from its third-party capital partners.

Specialty insurance and reinsurance group Lancashire Holdings continued to grow into the firming marketplace during the first-half of 2022 and delivered strong underwriting results across the business, although its third-party capital management underwriting fees and profit commission declined.

In comments made this afternoon during the second-quarter earnings call of Bermuda based reinsurance and third-party capital management specialist RenaissanceRe, the company’s CEO Kevin O’Donnell said the catastrophe modelling vendors are failing to robustly capture the effects of climate change.

Insurance bonds should not be ignored as a defensive investment opportunity with both yield and upside potential, according to Twelve Capital, with the manager believing that market dynamics have created a particularly attractive entry point for investors.