AlphaCat Managers

Insurance technology (insurtech) and insurance-linked securities (ILS) start-up Ledger Investing has successfully completed its first transaction, directly securitizing a portfolio of non-standard passenger auto insurance between an MGA and the AIG-owned ILS fund manager AlphaCat.

American International Group, Inc. (AIG) has reported its first quarter of earnings since the acquisition of Bermudian reinsurance and third-party capital management firm Validus and the insurer gives some visibility of what looks like an improved amount of income earned through the AlphaCat Managers ILS fund activities.

Insurer American International Group (AIG) is likely to continue to acquire increasing amounts of reinsurance protection, as it utilises reinsurance capital as a lever for performance improvements across its book and is already approaching reinsurer markets about new opportunities in the second-half of this year.

ILS assets under management at the AlphaCat Managers Ltd. insurance-linked securities (ILS) and third-party reinsurance capital unit of Validus Holdings (now part of AIG) have shrunk slightly during the second-quarter of the year to $3.5 billion.

American International Group, Inc. (AIG), one of the world’s largest insurers, will now also benefit from a specialist reinsurance arm and its own insurance-linked securities (ILS) fund manager, as it closes on the Validus acquisition so adds the AlphaCat Managers ILS unit to its operations.

Premiums underwritten and investment income earned by Validus Holdings from its AlphaCat Managers Ltd. insurance-linked securities (ILS) and third-party reinsurance capital arm were up in the first-quarter, as AlphaCat’s assets under management passed a new high of $3.66 billion.

The acquisition of Bermudian reinsurance group Validus Holdings, Ltd. by primary insurance giant American International Group, Inc. (AIG) will provide the AlphaCat Managers ILS investment team with access to a much deeper and broader universe of insurance risk, the unit believes.

AIG’s Brian Duperreault is “very positive” about the growth potential for AlphaCat Managers following the company’s proposed $5.56 billion takeover of Validus Holdings, underlining the “tremendous” potential for upside.

Insurance giant American International Group, Inc. (AIG) is set to acquire Bermudian reinsurance group Validus Holdings, Ltd., in a deal that has just been announced and will see AIG taking control of Validus’ third-party capital and ILS investment management unit AlphaCat Managers.

Insurance and reinsurance linked assets under management at AlphaCat Managers Ltd., the insurance-linked securities (ILS) and arm of specialist re/insurer Validus Holdings, have recovered from the heavy losses of 2017 thanks to a fresh capital raise that has taken them to $3.4 billion at January 1st 2018.