contingent capital facility


SCOR sets up fourth catastrophe & mortality contingent capital facility

French reinsurance giant SCOR has established its fourth contingent capital facility, securing an EUR 300 million source of responsive capital coverage for natural catastrophe and extreme mortality events. SCOR has been a regular issuer of contingent capital since 2010, when the reinsurance firm first added a line of contingent equity capital read the full article →

Retro support helps SCOR to remain profitable so far in 2017

Despite the significant catastrophe losses facing the reinsurance industry, French reinsurer SCOR has reported a profit for the first none months of 2017, as support from its retrocession providers helped the firm to better manage its losses. SCOR's significant retro protection has helped to moderate the impact of recent catastrophes, including read the full article →

SCOR: Catastrophes unlikely to trigger contingent capital facility

Global reinsurance firm SCOR said that it expects the impacts of hurricanes Harvey, Irma and Maria will likely remain an earnings, rather than capital event, and that it does not expect its contingent capital facility will be triggered as a result of the losses it will suffer. SCOR has a catastrophe read the full article →

SCOR grows its catastrophe & mortality contingent capital facility

French reinsurance company SCOR has announced the issuance of a new three-year contingent capital facility that will provide the company with EUR 300 million of cover against losses from natural catastrophe and extreme mortality events. The contingent capital deal provides SCOR with a EUR 300 million contingent equity line that can read the full article →

Regulation to drive contingent capital use in re/insurance: Moody’s

Rating agency Moody's Investors Service expects that use of contingent capital securities, including contingent convertibles (CoCo's) by insurance and reinsurance companies will increase as they are set to be considered as regulatory-efficient capital. Contingent capital securities and contingent convertibles have been used by banks and financial companies as a way to read the full article →

Farmers renews $500m catastrophe contingent capital facility again

Farmers Insurance Exchange (Farmers) has successfully renewed its $500 million catastrophe contingent surplus loan note facility for the third time. The facility provides Farmers with an option to access the capital markets following a major catastrophe event. The $500m facility complements the capital structure of Farmers, and provides it with further read the full article →

Germany clears way for more contingent convertibles (CoCo’s)

The German finance ministry has given the countries banks a green light to pursue the issuance of contingent convertible bonds, or CoCo's, and other contingent capital deals as it clarified the instruments tax treatment. A report from Reuters states that the German finance ministry has agreed that banks issuing contingent convertibles read the full article →

SCOR grows, expands natural catastrophe contingent capital facility

French reinsurance firm SCOR has renewed its innovative contingent capital facility, which takes the form of a guaranteed equity line with UBS, and has expanded the cover it provides the reinsurer to €200m, covering both natural catastrophe and extreme life events. SCOR took out its first version of this contingent capital equity read the full article →

Swiss Re completes dual solvency/catastrophe trigger contingent deal

Reinsurance firm Swiss Re has successfully completed its novel dual-trigger contingent capital security transaction, having sold CHF175m Swiss francs of notes linked to either the occurrence of a major decline in its solvency level or a major natural catastrophe loss. We wrote about this interesting transaction at the start of last read the full article →

Swiss Re seeking dual-trigger contingent capital cover with new transaction

Financial market sources have told us that reinsurance firm Swiss Re is looking to secure a new source of contingent capital protection for its solvency and balance sheet with the launch and marketing of a new dual-trigger contingent capital securitized bond issuance. According to sources, a contingent capital deal is currently read the full article →