Catastrophe bond news

Catastrophe bond news – news and analysis covering the market for cat bonds and other catastrophe insurance-linked securities (ILS), including all the catastrophe bond issuance news, cat bond articles, catastrophe bond market trends, catastrophe bond analysis and cat bond data.

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Cat bond rates gain 2% in Q4, hard market continues: Lane Financial

Catastrophe bond and ILS rates-on-line, as measured by a synthetic Index calculated by Lane Financial, rose 2% in the final quarter of 2019, as insurance-linked securities (ILS) remained in hard market territory and yields returned to levels seen earlier in the year.The latest data from consultancy Lane Financial LLC's synthetic read the full article →

P&C profit pressure, Jan renewal outcome to drive reinsurance rates: KBW

While major global catastrophe loss activity in the fourth-quarter wasn't particularly significant, attrition from global large losses and Japanese typhoons, as well as dented profitability in general, plus the outcome of January renewals, is all expected to help drive reinsurance rates higher through 2020.Analysts from KBW noted that overall loss read the full article →

Insurance & ILS are shock absorbers for climate, but need adjusting to the risk: McKinsey

Insurance products, reinsurance and insurance-linked securities (ILS) are all examples of financial shock absorbers for climate change risks, but while it can encourage behavioural change through the sending of price signals, a new report from McKinsey highlights the reality that the sector business models may need to change.Leaders in business, read the full article →

Allstate’s 2019 cat losses lower than prior two years at ~$2.6bn

U.S. primary insurance giant Allstate has ended the full-year 2019 with its pre-tax catastrophe losses amounting to just under $2.6 billion, lower than the prior two years and so far leaving its aggregate reinsurance protection untouched.Allstate has reported that its estimated catastrophe losses for the month of December 2019 only read the full article →

Stone Ridge interval ILS fund shrinks again, cat bond focused fund stable

Stone Ridge Asset Management's mutual insurance-linked securities (ILS) fund assets shrank slightly in the last quarter of record, with the Interval ILS fund down roughly 5% again, but the managers catastrophe bond focused fund was more stable and grew almost 1% in the period.Overall, Stone Ridge's mutual ILS fund assets read the full article →

“Significant” reinsurance rate increases likely for Florida and Japan: S&P

The market could achieve "significant" reinsurance rate increases at the upcoming Japanese renewals in April and Florida renewals in June, as these two markets face some level of re-pricing on the back of catastrophes and market issues, according to S&P.The Florida market in particular is "facing a dislocation, which could read the full article →

Hannover Re’s 3264 Re cat bond to grow 50% to $150m

The new international multi-peril 3264 Re Ltd. (Series 2020-1) catastrophe bond transaction that is being sponsored by global reinsurance firm Hannover Re looks likely to upsize by 50% to become a $150 million issuance.We also understand that this may not be a retrocession cat bond specifically for Hannover Re's benefit, read the full article →

Climate & environmental issues are top global risks for 2020: Marsh & Zurich

For the first time in the history of the annual World Economic Forum's Global Risks Report all of the top five global risks in terms of likelihood are related to climate change and environmental issues.The report highlights the growing global awareness of the threat that climate related risks pose to read the full article →

Aegon to close down ILS investing unit

Netherlands headquartered global life insurance company, annuities provider and pension investment manager Aegon is shuttering its dedicated ILS investment operations and will run-off the current portfolio of risks it had invested in during 2019, we can report.Aegon began its latest venture into insurance-linked securities (ILS) and reinsurance-linked investing in the read the full article →

Lloyd’s Performance Management Director Jon Hancock to depart

Jon Hancock, the Lloyd's of London insurance and reinsurance market's Performance Management Director is to step down in 2020 with no replacement for his position currently named.His role will be a tough one to fill in the market, given the wide-ranging expertise required to deliver on performance in a market read the full article →