Insurance Linked Investments

Reinsurance giant Munich Re is planning to grow its business significantly in the United States, targeting regional accounts as a lever for growth but at the same time planning to maintain its conservative risk profile, keeping catastrophe risks in-line with the size of its balance-sheet.

Recent merger and acquisition (M&A) transactions, including Markel Corporations planned acquisition of ILS specialist Nephila Capital, show that major re/insurers are increasingly keen to put capital markets capacity and ILS techniques to work in underwriting shorter-tailed primary lines of business.

The issues of under-insurance and the disaster insurance protection gap means people lack financial support after catastrophes strike and if the state always has to intervene after the loss event, perhaps the state itself should be buying risk transfer protection, according to Christian Mumenthaler, CEO of Swiss Re.

Hiscox Re & ILS, the reinsurance and insurance-linked securities (ILS) division of global re/insurer Hiscox, has promoted Andrew Dolphin to the role of Chief Operating Officer, having previously worked in reinsurance buying and led the international business as Chair.

The CEO of Markel CATCo Investment Management Ltd. and the Non-executive Chairman of the Board of the firms London-listed retrocessional reinsurance investment strategy, have again acquired shares in the fund.

Insurance and potentially reinsurance industry losses caused by recent Typhoon Mangkhut’s impacts in Hong Kong, mainland China and Macau are estimated to be in a range from $1 billion to as much as $2 billion by AIR Worldwide.

Florida’s Citizens Property Insurance Corporation has revealed that it expects to claim back $126.4 million from the private reinsurance market to help it pay for claims from hurricane Irma.

Industry loss warranty (ILW) trading volumes have risen in 2018 so far, with protection buyers showing renewed interest in the industry loss trigger based product, but while volumes rose Aon Securities has also noted that, despite capacity shortages at times, ILW prices are tending to soften.

Specialist insurance-linked securities (ILS) and reinsurance linked investment manager Leadenhall Capital Partners LLP has announced a new senior non-life analyst hire who will join the firm from Markel International.

The insurance and reinsurance market-wide loss from recent hurricane Florence’s impacts in the Carolina’s and surrounding region of the United States is expected to be in a range from $2.8 billion to as much as $5 billion and this is including an NFIP flood insurance claims estimate.