Insurance Linked Investments

RenaissanceRe, the Bermuda headquartered global reinsurer and third-party reinsurance capital manager, has built a “deep and persistent moat” around its fee income business, CEO Kevin O’Donnell believes, saying that demand from investors for access to its Capital Partners strategies is often greater than it can satisfy.

Moody’s Ratings has published a discussion paper on insurance-linked securities (ILS), with a focus on catastrophe bonds, and is seeking feedback from market participants to help clarify its understanding of ILS market dynamics and associated credit risks.

Highlighting achievements from 2024 when $1.92 billion of capital was deployed through the Lloyd’s insurance-linked securities (ILS) structure, Deputy CFO Alexandra Cliff said today that the pipeline for the London Bridge platform remains healthy.

Nephila Capital’s specialty lines focused Syndicate 2358 at Lloyd’s continued to expand its operations in 2024, underwriting an impressive 84% more in gross premiums over the year, although its results were hit by losses due to the Baltimore Francis Scott Key Bridge collapse.

Acrisure Re, the re/insurance division of global fintech Acrisure, has promoted Tom Deane to Managing Director, Head of Acrisure Re Corporate Advisory & Solutions, LLC (ARCAS US), where he will contribute towards the company’s work on insurance-linked strategies.

Nephila Capital’s Syndicate 2357 at Lloyd’s, which is the flagship syndicate operated by the dedicated investment manager focused on the insurance-linked securities (ILS), weather and catastrophe reinsurance space, underwrote an impressive 41% more in gross premiums in 2024.

In reporting its full-year results for 2024 this morning, the Lloyd’s insurance and reinsurance market delivered positive returns across both underwriting and investments, while despite a more than doubling of the major claims ratio during the year, still saw the underlying combined ratio come down.

The secondary market for catastrophe bonds in 2024 saw distinct shifts in trading activity, with periods seeing high-volumes of trades, as well as times when the market was bid-heavy but fewer trades occurred, according to Swiss Re Capital Markets (SRCM), the insurance-linked securities (ILS) division of the global reinsurer.

Miami International Holdings, owner of the leading exchange in the catastrophe bond and insurance-linked securities (ILS) market, the Bermuda Stock Exchange (BSX), has agreed to acquire another in an offshore reinsurance and ILS domicile, Guernsey’s The International Stock Exchange (TISE).

2025 is shaping to be another strong year for catastrophe bond and insurance-linked securities (ILS) issuance following record growth seen across the market last year, despite the fallout from the Los Angeles wildfires in January, says global ratings agency AM Best.