Cat bond news

Catastrophe bond fund manager Icosa Investments has published some scenario modelling outputs that show the difference between best and worst case hurricane Milton losses, ranging from industry losses of $15bn to $150bn+, with the hit to the cat bond market anything from zero to as much as 15%.

While uncertainty remains over the eventual loss from hurricane Milton, catastrophe bond fund manager Plenum Investments has said it could be around Ian levels, but even then the impact to the cat bond market and its cat bonds funds would only be deemed “moderate” and projections show returns earned so far this year can easily […]

According to specialist insurance-linked securities (ILS) investment manager Euler ILS Partners, there is a roughly 33% chance that industry losses from hurricane Milton rise above $50 billion and if that were to happen the manager believes it could drive a very hard market across reinsurance.

This morning hurricane Milton has strengthened back to a Category 5 major hurricane overnight, with sustained wind speeds of 160 mph and gusts estimated at over 200 mph. Last night, Milton wobbled slightly south of the NHC forecast cone center line, but remains locked onto Tampa Bay, with a track consensus just slightly to the […]

In his latest update yesterday evening, Andrew Siffert, Senior Meteorologist at broker BMS Group, explained that he feels it is safe to say that hurricane Milton is likely to be at least a $20 billion insurance market loss event, while even a best possible scenario of a wind shear impacted Milton going into Tampa Bay […]

Major hurricane Milton continues to bear down on Florida and in recent updates from the National Hurricane Centre warning areas for the Florida Peninsula have been expanded, with an expectation the storm could sustain hurricane wind speeds all the way as it crosses the state from west to east.

Welcoming attendees to ILS Bermuda’s 2024 Convergence event today, Jo Stanton, Chair of ILS Bermuda and Head of Finance at insurance-linked securities (ILS) investment manager Tangency Capital explained that with hurricane Milton heading for Florida it highlights the importance of collaborations with science to drive the understanding of risk and innovation.

After hurricane Milton skirted the northern Yucatan peninsula of Mexico without making a landfall it is now presumed that the $125 million Class C notes of the IBRD CAR Mexico 2024 catastrophe bond are safe and will not suffer a loss.

Yesterday saw a number of the 1940’s Act registered US mutual investment funds that allocate to catastrophe bonds and other insurance-linked securities (ILS) declining, presumably as asset managers cut their net asset values (NAV’s) on the potential for losses from hurricane Milton.

If hurricane Milton remains locked onto the Tampa Bay area for landfall, then it could be a huge test for the entire insurance and reinsurance market, according to analysts at Evercore ISI.