Alternative reinsurance capital

Nephila Capital, the world’s largest investment manager specialising in catastrophe and weather insurance-linked securities (ILS) and reinsurance linked assets, is to be 100% acquired by Markel Corporation in a move that is certain to create waves in the marketplace.

Reinsurance giant Hannover Re continues to take advantage of the expanding insurance-linked securities (ILS) sector, and sees further opportunities in a marketplace that is “here to stay,” according to Henning Ludolphs, Managing Director of Retrocessions & Capital Markets at Hannover Re.

The reinsurance market evolution continues and as ever alternative capital and the insurance-linked securities (ILS) market is placed centre stage in any discussion of the disruption of traditional business models, but now that the payback model of the past has expired, a new and more symbiotic model with ILS is emerging.

Global re/insurer Hiscox has announced the promotion of Ross Nottingham to the position of Chair of North America for its Hiscox Re & ILS division, the reinsurance and insurance-linked securities (ILS) arm.

Private equity and alternative investment specialist Apollo Global Management, LLC is acquiring Bermudian insurance and reinsurance firm Aspen Insurance Holdings for $2.6 billion, providing another sign of the attraction asset managers have to insurance-linked returns and the resulting long-term capital.

Here are the ten most popular news articles, week ending 26th August 2018, 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.

Mergers & acquisitions between major insurance and reinsurance firms continue to drive consolidation and rating agency Standard & Poor’s explains in a new report that it sees M&A as just one of the ways traditional players are responding to the threat posed by ongoing reinsurance and capital markets convergence.

With the hurricane Irma related loss creep continuing to be experienced by the market, the number of insured claims counted by the regulator in Florida has reported another 8% rise in total insured losses from claims reported, now reaching almost $10.5 billion.

The development of sophisticated catastrophe risk models has been integral to the growth of the insurance-linked securities (ILS) market, making it easier to understand and visualise risk exposures, roll up portfolios and identify insurance and reinsurance linked investment opportunities.

Singapore’s ambitions and efforts to become a global hub for insurance-linked securities (ILS) business in Asia is expected to “bear fruit in the near future,” according to Fitch Ratings.