PRA to assess whether UK ILS regs need post-Brexit transition changes

The United Kingdom’s Prudential Regulatory Authority (PRA), part of the Bank of England, said it will keep its policy related to insurance-linked securities (ILS) and insurance special purpose vehicles (iSPV's) under review as the Brexit transition proceeds, in case any changes are need. The UK's withdrawal from the European Union, the read the full article →

Prudential closes $2.6bn pre-Brexit pension longevity reinsurance deals

Prudential Retirement, part of Prudential Financial, Inc., says that the UK pension risk transfer market hass experienced a rush to finalise de-risking deals in advance of Brexit, evidenced by its closing of a further $2.6 billion of longevity reinsurance transactions at the start of 2019. These previously undisclosed longevity reinsurance contracts read the full article →

Swiss Re sets up EU entity for derivative & ILS continuity post-Brexit

Global reinsurance firm Swiss Re has established a new European entity in Luxembourg named Swiss Re Capital Markets Europe, S.A. to ensure it has trading continuity for derivative contracts in the weather and energy risk transfer space, as well as ILS instruments, after Brexit. With the UK's position in the European read the full article →

More UK ILS deals on the way, as PRA notes ILS vital for UK’s competitiveness

Artemis understand that there are a number of new efforts to use the UK's ILS regulatory regime underway, with a range of transactions mooted and being explored or actively worked on currently. At the same time the UK regulator has noted the importance of ILS to the UK's competitiveness. The Bank read the full article →

Brexit seen as UK ILS deterrent for some sponsors

Brexit, or the impending exit from the European Union by the United Kingdom, has been seen to be deterring some potential sponsors of insurance-linked securities (ILS) transactions under the recently launched UK ILS regulatory and tax framework. At an event held at Lloyd's this morning by the Lloyd’s Market Association (LMA) read the full article →

Brexit, regulatory uncertainties challenge London’s ILS ambitions: Experts

Some insurance-linked securities (ILS) market participants have expressed uncertainty as to whether London’s ambitions of becoming a global ILS hub will be beneficial to investors and the asset class, noting Brexit as an additional challenge for ILS in London. Executives and experts within the ILS space recently discussed numerous market issues read the full article →

Brexit could result in London losing re/insurance business: Fitch

The fallout from the UK's vote to leave the European Union, or Brexit as it's more commonly known, could result in lost business for the London insurance and reinsurance market, unless the UK government can negotiate continuity of passporting rights. Brexit was always going to hit the insurance and reinsurance sector read the full article →

Longevity reinsurance demand could rise on lower Solvency II ratios

Demand for longevity reinsurance and risk transfer among UK life insurers could rise, as their Solvency II ratios have fallen in the wake of lower investment yields and the fallout from the Brexit vote. Fitch Ratings highlights the link between investment yields, Solvency II ratios and longevity risk capital charges in read the full article →

Lloyd’s safe from immediate Brexit hit, long-term uncertain: J.P. Morgan

Analysts at J.P. Morgan have commented on the impact the Brexit vote might have on Lloyd’s of London insurers and reinsurers, stressing that while the long-term implications remain uncertain, Lloyd’s players don’t appear overly concerned for the near-term. Like the rest of the financial industry in the UK, insurers and reinsurers read the full article →

Longevity risk transfer more attractive in wake of Brexit vote: Hymans

In the context of the risk of yields on UK gilts staying low for longer, or getting even lower, increasing following the countries recent Brexit vote to leave the European Union, Hymans Robertson believes pensions may be facing up to 50% more in longevity related liability costs. As a result of read the full article →