Reinsurance News

Parameter Climate, the parametric climate risk transfer focused underwriter and advisor, has completed a management buyout of seed investor SiriusPoint, as the latter continues to reduce its equity ownership in program and MGA businesses.

Hurricane Otis’ category 5 onslaught in the Acapulco region of Mexico is currently estimated to cost the local insurance and global reinsurance industry somewhere from US $1.8 billion to as much as US $6.5 billion, according to rating agency AM Best.

Bermuda headquartered re/insurer Arch Capital has now successfully closed its latest mortgage insurance-linked securities (ILS) issuance, securing the targeted roughly $186.6 million of coverage from the Bellemeade Re 2023-1 Ltd. issuance, while adding $46 million in direct reinsurance to take the total protection to just over $233 million.

Insurtech Floodbase has partnered with specialised crop and farm underwriting system and service provider Ag Guard to deliver parametric flood insurance to cover agricultural risks in Australia and New Zealand.

Olympus Insurance Company, a Florida homeowners specialist underwriter, has adopted new rules for property underwritten on the coast of the state, as it looks to align its inwards business more closely with the reinsurance models used.

In a sign that the Vesttoo saga could be sped through the courts in order to liquidate the insurtech and its assets, to protect value for stakeholders and creditors while avoiding further litigation between parties, a filing by the US Trustee calls for the Chapter 11 bankruptcy case to be converted to Chapter 7.

Insurance and reinsurance broking giant Aon is continuing to work with clients to help the industry replace lost capital following the letter of credit (LOC) fraud at insurtech Vesttoo, Eric Andersen, President of Aon plc said last week.

Reinsurance broker Gallagher Re has said that hurricane Otis will be one of the costliest natural catastrophe events in Mexico’s history, with a multi-billion-dollar insurance market loss anticipated because of the devastating impacts of the storm.

Vesttoo, the insurtech at the center of an international reinsurance letter of credit (LOC) fraud investigation, is trying to sell off assets of the firm as part of its plans to emerge from the scandal and trade forwards, but creditors are accused by the company of undermining these efforts in a display of brinkmanship.

Despite being home to a high frequency of natural catastrophes, re/insurance penetration remains low across much of Asia, but as risk accumulation and demand for protection rises, there’s an opportunity for the catastrophe bond market, according to Peak Re’s CEO, Franz-Josef Hahn.