Alternative reinsurance capital

Hurricane Ian is seen as an additional catalyst for hardening reinsurance rates, by global giant Swiss Re, who warns that its impact “will extend beyond Florida and add to pre-existing drivers of rate increases such as claims inflation.”

Global insurance and reinsurance broker and advisory Aon has made a number of senior changes within the leadership for its White Rock transformer, fronting and insurance management vehicle.

From January 1st 2023, specialty insurance and reinsurance underwriter Beazley’s Smart Tracker special purpose arrangement (SPA) syndicate 5623 will now become a full market-facing syndicate at Lloyd’s.

The California Earthquake Authority (CEA) was unable to fully renew all of its expiring reinsurance at October 1st resulting in a further shrinking of its risk transfer program and now the CEA is unsure whether it can renew all its expiring limit at the January 1st 2023 renewal as well.

While almost the entirety of the January 1 2023 reinsurance renewals are running late so far and quotes are seen as still thin on the ground, this is especially the case in retrocession, we’re told, where demands from capital providers for rate increases are also seen as particularly significant.

The Florida property insurance market could face an even more challenging year ahead in 2023, as reinsurance capital loses its appetite for the state and private insurance capital shows now interest in moving in currently.

It appears that investors in the collateralized reinsurance sidecar vehicle of Oxbridge Re Ltd., the Cayman Islands based reinsurance firm, may support the insurers’ losses from hurricane Ian, as their share of income from the vehicle was recorded as zero for the third-quarter.

Here are the ten most popular news articles, week ending December 4th 2022, covering catastrophe bonds, ILS, reinsurance capital and related risk transfer topics. To ensure you never miss a thing subscribe to the weekly Artemis email newsletter updates or get our email alerts for every article we publish.

Global insurance and reinsurance company Everest Re ceded less in the way of premiums written to its Mt. Logan Re Ltd. collateralized reinsurance sidecar-like vehicle in the third-quarter and first nine months of 2022, likely reflecting lower available capital under management.

Independent specialty insurance program manager K2 Insurance Services, the parent and service provider to MGA’s K2 CAT and K2 Parametric, has announced that it is being acquired by global growth investor Warburg Pincus.