Reinsurance News

Since its launch as the first French reinsurance sidecar, CCR Re’s 157 Re vehicle has become an important part of the reinsurer’s property catastrophe play, and further expansion of the sidecar and its capabilities is expected in the future, according to Laurent Montador, Deputy Chief Executive Officer (CEO).

Lloyd’s has issued revised guidance for members and members agents on Tier 2 capital limits, which encompasses the use of letters of credit (LOC) in the marketplace and in it has stressed how important it is that LOC’s have their validity confirmed on a regular basis.

PGGM, the Dutch pension fund investment manager that allocates the largest amount to the insurance-linked securities (ILS) market on behalf of end-client the Dutch pension PFZW, now looks after a portfolio that was valued at just over US $8.8 billion (EUR 8.1bn) at the mid-point of 2023, which has grown further above its strategic allocation […]

The committee of unsecured creditors in the Chapter 11 bankruptcy case of insurtech Vesttoo has now been approved to begin conducting legal discovery on the company after the judge issued an order approving discovery at a hearing yesterday.

The CRESTA organisation, which tracks insurance industry losses outside the United States, says the data shows that severe convective storm (SCS) loss events of above $1 billion exhibit both increasing frequency and severity.

A Bermuda Supreme Court hearing held on Friday, to look into the issue of segregated cells that housed reinsurance deals affected by the Vesttoo letter of credit (LOC) fraud and fake collateral issues, resulted in an adjournment of the case until December 1st, the Royal Gazette has reported.

Capital raised in reinsurance and insurance-linked securities (ILS) is not expected to be overly disruptive to pricing at the end of year renewals and into 2024, analysts at investment bank Morgan Stanley have said.

Bermuda-headquartered AXIS Capital has teamed up with investor Stone Point to launch Monarch Point Re, a newly created collateralized reinsurer that has been capitalised by a more than $400 million raise and will operate as a kind of third-party capitalised casualty reinsurance sidecar structure, with a total return approach.

The appetite of investors to fund reinsurance strategies, be they traditional equity-backed reinsurers, or insurance-linked securities (ILS) structures, is a key determinant to how long the current hard market will last, AM Best has said.

It’s increasingly clear that the ongoing difference of opinion over ownership or control of property rights to segregated cells and accounts linked to them, that were used for reinsurance deals facilitated by Vesttoo where letters of credit (LOC) were found to be fraudulent or forged, will need a definitive court ruling to be decided.