Covid-19 news, analysis and information of relevance to the insurance-linked securities (ILS), catastrophe bond and reinsurance capital markets.
The Covid-19 coronavirus outbreak of 2019/20 caused significant disruption and threatened losses across insurance and reinsurance markets, with some ramifications for ILS and cat bond investors and sponsors as well.
The subject of how a second wave of the Covid-19 pandemic would be treated under reinsurance contracts came up during insurance giant Allianz's earnings call this week and the companies CFO said that he'd expect it to be classed as a second loss event. Defining the pandemic in terms of specific read the full article →
RenaissanceRe, the Bermuda headquartered specialty re/insurer and third-party reinsurance capital manager, has raised capital across numerous platforms over the last year, but the company always ensures investors have a "right of incumbency" on the deals they are already on, according to its CEO. RenaissanceRe (RenRe) has been raising third-party capital for read the full article →
AXA XL, the commercially focused insurance and reinsurance arm of the global AXA Group, has suffered a loss for the first-half of the year, as losses from the Covid-19 pandemic hit its commercial books of business. Overall, AXA reported net income of EUR 1.429 billion for the first-half, down 39% on read the full article →
UK insurance group Aviva has revealed that its gross losses from the Covid-19 pandemic rose to around US $580 million for the first-half of the year, but the company expects its reinsurance panel will take roughly 63% of the costs of its hands. Aviva reported incurred claims losses from the pandemic read the full article →
U.S. primary insurer and global re/insurer Liberty Mutual has reported suffering an elevated level of catastrophe losses in the second-quarter, as U.S. severe weather affected the firm, as well as a $529 million loss from the Covid-19 pandemic, all of which sent the company to a loss for the period. Liberty read the full article →
Global reinsurance giant Munich Re turned a €579 million profit in the second-quarter of the year despite suffering around €700 million of losses from the Covid-19 pandemic during the period. Munich Re's Covid-19 losses have now risen to €1.5 billion for the first-half of the year and there's likely to be read the full article →
German reinsurance firm Hannover Re expects that as its losses from the Covid-19 pandemic convert from IBNR reserves to reported claims, a proportion of these will be ceded to third-party investors in its K-Cessions sidecar vehicle. Earlier this year we explained that Hannover Re increased the size of its capital market read the full article →
TransRe, the reinsurance arm of Alleghany Corporation, has reported a 75% increase in its loss reserves for the Covid-19 pandemic in the second-quarter of the year, with an estimated loading for expected international property business interruption claims a factor. After the first-quarter of 2020, TransRe's Covid-19 pandemic losses totalled an estimated read the full article →
AIG is expecting its Covid-19 losses will trigger a reinsurance recovery under its international catastrophe treaty, while its losses are also mounting in the United States and have eaten half-way through its U.S. cat treaty retention, President and COO Peter Zaffino explained yesterday. Yesterday, AIG reported the second-quarter impacts to its read the full article →
Reinsurance firm Hannover Re has more than doubled the size of its net reserve for losses from the Covid-19 pandemic, lifting it from €220 million at the end of Q1 to now €600 million for the first-half of 2020. The reinsurer's CEO this morning highlighted the "still considerable uncertainty" over the read the full article →