fronting

Global reinsurance giant Hannover Re continued to expand the volume of collateralised business that it acts as a front or transformer for in 2022, with ceded limit rising 36% to almost EUR 6.2 billion for the year.

Hannover Re, a major player in insurance-linked securities (ILS) market facilitation through its fronting and risk transformation activities in collateralised reinsurance and catastrophe bonds, booked a $900 million piece of its gross loss from hurricane Ian related to that business.

French reinsurer SCOR’s asset management company, SCOR Investment Partners, has announced the expansion of one of its core insurance-linked securities (ILS) fund strategies, Atropos, with assets under management (AuM) now exceeding $2 billion.

Well-known Bermuda-based insurance-linked securities (ILS) market executive Sal Tucci has launched a new venture, Jireh Holdings Ltd., with the company set to bring ILS risk transformation, fronting and advisory services to clients, while a broader insurance management offering is also anticipated in future.

The acquisition of hybrid P&C program, fronting and risk transformation company, Transverse Insurance Group, by MS&AD Holdings, through its Mitsui Sumitomo Insurance unit, has been completed, with the pair now targeting growth through this relationship.

Global insurance and reinsurance broker and advisory Aon has made a number of senior changes within the leadership for its White Rock transformer, fronting and insurance management vehicle.

Allianz Global Corporate & Specialty (AGCS) has announced an impending expansion of its Alternative Risk Transfer team, as the global insurance and reinsurance player continues to expand the use of non-traditional risk transfer and capital solutions for its clients.

Kestrel Group, the program specialist launched earlier this year by the Ledbetter family, has hired Dan Dijak from Vesttoo to lead its business development and strategy efforts, as it seeks to position itself as a key conduit in the market chain to facilitate the expansion of insurance-linked securities (ILS) into new lines of business.

Terry Ledbetter and Luke Ledbetter, formerly of fronting and program service insurance specialist State National Companies, are back with a new venture, having launched Kestrel Group as a program specialist with a focus on bringing greater efficiency to the insurance and reinsurance market value chain.

A collateralized insurer class of company has now officially been registered in Bermuda, with Vesttoo Alpha P&C Ltd. set to play a pivotal role in the companies platform and offering of P&C insurance returns to investors.