Reinsurance News

Retrocessional reinsurance focused ILS investment funds and strategies could find as much as 70% to 80% of their capital trapped or lost after the challenging catastrophes of 2021, according to RenaissanceRe’s CEO Kevin O’Donnell.

Global insurance and reinsurance giant Chubb reported a $1.15 billion pre-tax hit from catastrophe events that occurred during the third-quarter of 2021, with $806 million of this coming from hurricane Ida and a corresponding rise in recoverable suggesting reinsurance support was tapped.

Global reinsurance company SCOR has again demonstrated the value of its robust retrocession program, as these protection arrangements seemingly helped to offset some of the catastrophe claims burden experienced during the last quarter.

Tremor Technologies, the insurtech with a technology-based programmatic insurance and reinsurance risk transfer marketplace, has added another innovative feature to its software, now launching Tremor Blackboard™ a real-time collaboration tool so remote and global teams can work together on their reinsurance placements.

Markel CATCo Investment Management said this morning that it has received a “substantial level of investor support” for its proposed buyout transaction to speed the winding up of its retrocessional reinsurance investment funds and has updated the terms to be more favourable, in response to investor feedback it seems.

RenaissanceRe, the Bermuda-based reinsurance firm and third-party capital management specialist, revealed that investors in its managed insurance-linked securities (ILS) fund strategies and joint-ventures took their share of catastrophe losses in the third-quarter, denting fee income from these activities during the period.

The Howden insurance and reinsurance broking group is expected to launch a new capital markets focused reinsurance unit in Bermuda and has hired Darren Redhead from Lancashire Capital Management to lead at least the third-party capital aspect of the initiative, it’s understood.

The 1% aggregate exceedance probability insured loss (also the 100-year return period loss) from global catastrophe events has been estimated as around $320 billion by risk modeller AIR Worldwide, while the average annual is now over $100 billion.

United Insurance Holdings (UPC Insurance), the Florida headquartered but regionally expansive insurer, has added to its third-quarter catastrophe load and pre-announced an expectation of $37 million of pre-tax catastrophe losses after the reinsurance recoveries it expects to make for hurricane Ida.

Global insurance and reinsurance group Allianz has lifted its estimate for gross losses from storm Bernd’s impacts in Europe and the severe flooding that struck the region by 22% to €1.1 billion.