Reflecting investors high demand for insurance-linked securities, catastrophe bonds and reinsurance-linked investments, the first natural peril catastrophe bond to be broadly marketed this year looks set to increase in size and reduce in pricing as a response. The cat bond, Caelus Re 2013 Ltd., which is being marketed on behalf of sponsor Nationwide Mutual has […]
Read the full article
While primary issuance of catastrophe bond and insurance-linked securities has not been so strong at the start of 2013 compared to a year earlier, it appears that a strong appetite for insurance-linked investments looks set to be a feature of the market in 2013. In contrast to the primary market which was slow in January, […]
Read the full article
Contingent capital has been back on our radar recently thanks to the market rumours suggesting that reinsurer Swiss Re has been arranging a marketing roadshow for a contingent convertible bond issuance recently. The first time we wrote about contingent capital on Artemis it was not with reference to reinsurers however, it was discussing whether contingent […]
Read the full article
Where the final industry loss estimate for hurricane Sandy ends up means more to some companies than others. In particular firms which have reinsurance contracts, industry loss warrants (ILWs) or insurance swaps with a trigger set at the $20 billion level are particularly interested in the next update from Property Claims Services. Lancashire Holdings, a […]
Read the full article
There’s been an interesting development in the Chinese insurance and reinsurance market which could open the doors to third-party capital management, issuance of securities including insurance-linked securities (ILS) or catastrophe bonds, hedge fund type business models and re/insurers operating as investment managers. The China Insurance Regulatory Commission (CIRC) has announced that from February 2013 insurers […]
Read the full article
Bermuda headquartered Hiscox, an international specialist insurance and reinsurance group, has published its results for 2012 today and in the published regulatory announcement Hiscox discusses the benefits that an investment made last year in a catastrophe fund operated by hedge fund backed reinsurer Third Point Re brings to it. Hiscox says that by engaging with […]
Read the full article
As we suggested might happen last week, the primary catastrophe bond market has come back to life as regular sponsor Nationwide Mutual seeks to issue its third cat bond, Caelus Re 2013 Ltd. As always, you can read every market news story and article on the Artemis news blog, subscribe to our weekly email newsletter […]
Read the full article
One of the metrics we like to take a look at occasionally is the average expected loss of the outstanding catastrophe bond market to see what it can tell us about the kind of transactions that have come to market and where the cat bond and ILS market feels its risk appetite sweet spot is. […]
Read the full article
According to a report in the Financial Times, Goldman Sachs has completed the sale of 75% of its reinsurance operations, Ariel Re, to investors through a private placement. Goldman Sachs only bought Ariel Re last year in an effort to profit more from reinsurance premiums and diversify away from its core investment banking business, but […]
Read the full article
Unless you’ve had your head under a rock for the past month you’ll be fully aware of the high-profile deal which took place at the end of January and saw private equity and buyout giant KKR & Co. L.P. (or Kohlberg Kravis Roberts) acquire a 25% stake in the largest investment manager in the insurance-linked […]
Read the full article
Reinsurer Swiss Re is in the news today regarding the use of contingent capital, after a bank told reporters at Dow Jones that the reinsurer plans to arrange a series of meetings to roadshow a contingent convertible bond issuance. The bank source is said to be one of the institutions arranging the investor meetings, or […]
Read the full article
Lancashire Holdings, a global provider of specialty insurance and reinsurance products, is launching a new brand which will lead its efforts in third-party capital management and give it a platform it can expand from to leverage new opportunities to attract and utilise third-party capital within its underwriting. Lancashire has a history of involvement in sidecar […]
Read the full article
UK insurance and investment group Legal & General has completed the largest ever UK longevity swap with the BAE Systems 2000 Pension Plan. The insurance transaction between the two covers the BAE pension plan against the risk of its 31,000 current pensioners living longer than expected, covering a total of £2.7bn of pension liabilities as […]
Read the full article
The primary issuance market for catastrophe bond transactions is waking up after an unusually quiet start to 2013 as U.S. P&C insurer Nationwide Mutual looks to return to the catastrophe bond market with its third cat bond, Caelus Re 2013 Ltd. Nationwide Mutual’s Caelus Re II cat bond matures in May and the insurer clearly […]
Read the full article
