Reinsurance News

Bermuda-based insurance and reinsurance company, Everest Re, continues to benefit from a robust pipeline of insurance-linked securities (ILS) investment opportunities and is seeing a “high degree of interest” in its collateralized reinsurance sidecar-like vehicle, Mt. Logan Re Ltd., according to Chief Financial Officer (CFO), Mark Kociancic.

Favourable development across the CATCo retrocessional reinsurance investment portfolio has delivered almost $82 million back to investors in the strategy across the first nine months of 2022.

At the COP27 climate change conference in the coming days, the World Bank is set to announce the launch of the Global Shield Financing Facility (GS-FF), which will be an important new financing structure to channel capital to protect vulnerable nations against climate and disaster risks.

As the global reinsurance giant’s results were announced this morning, Christoph Jurecka, CFO of Munich Re, explained that the company believes hurricane Ian matches a pattern linked to a warming world and that this will have to be priced into reinsurance contract renewals.

Global reinsurance giant Swiss Re has said this morning that the industry needs to adopt a different approach to cyber risk underwriting, while also repeating its call for the development of a cyber insurance-linked securities (ILS) marketplace.

Warren Buffett’s conglomerate and re/insurance company Berkshire Hathaway has reported a huge $3.4 billion of pre-tax losses from hurricane Ian, but still its property and casualty reinsurance division delivered an underwriting profit, helped by significant reserve releases.

For the insurance-linked securities (ILS) market and global reinsurance capital, this time it’s different, concludes Dirk Lohmann, Chairman, Schroders Capital ILS, who analyses previous hard market periods and believe that we could be on the verge of the most pronounced market correction in decades.

The Board of the Texas Windstorm Insurance Association (TWIA) heard an initial discussion on planning for its 2023 reinsurance renewals this week, with early modelled indications projecting that it could need to buy close to $3 billion of protection for the next hurricane season.

Property insurers based and operating in the state of Louisiana continue to see losses creep higher from 2021’s hurricane Ida, with the total loss now reaching $13.9 billion, according to the state’s Insurance Commissioner.

Hurricane Ian’s impacts in Florida and resulting costs flowing to the insurance and reinsurance industry has tipped the balance from a hardening market into a hard one, according to Lancashire Group CUO Paul Gregory.