Hurricane Ian 2022

Insurance-linked securities (ILS) and catastrophe bond funds gained 0.87% for the month of November 2022, with continued recovery among some ILS funds after hurricane Ian, especially for those that had fallen most significantly the month that storm occurred.

The latest estimate for hurricane Ian insured losses based on claims data submitted by primary insurers in Florida now stands at almost $12.6 billion, according to regulator The Florida Office of Insurance Regulation (OIR).

The Plenum CAT Bond UCITS Fund Indices, an index that provides a reasonable proxy for cat bond fund performance across the market, saw mixed fortunes again between the lower and higher risk strategies in the last week of record, while the overall year-to-date performance has continued to improve.

The Progressive Corporation has significantly reduced its loss estimate for hurricane Ian, lowering it by $400 million to $1 billion, which implies the insurer will be making a smaller reinsurance recovery than it initially anticipated.

The lower-risk cohort of UCITS catastrophe bond funds has again seen the strongest gains in the last week of record to December 9th, according to the latest data from the Plenum CAT Bond UCITS Fund Indices, while overall the Index is now only down around 2.80% year-to-date.

The U.S. Federal Emergency Management Agency (FEMA) has adjusted its estimate of flood insurance claims losses for the National Flood Insurance Program (NFIP) from hurricane Ian slightly, raising the lower-end of the range to $3.7 billion, but dropping the top-end slightly to $5.2 billion at the same time, putting it a little further from where […]

In the last week of available data, it was lower-risk cohort of UCITS catastrophe bond funds, as measured by the Plenum CAT Bond UCITS Fund Indices, that performed better, with a small positive gain at a time when other funds are still feeling the effects of widening spreads.

Insurance and reinsurance companies based in Bermuda could end up taking as much as one-quarter of the industry losses from hurricane Ian’s impacts in Florida.

Arbol, a technology-led underwriter of parametric risk transfer, climate and weather insurance or reinsurance business, has paid out $10 million for a parametric reinsurance contract that was triggered by hurricane Ian for its client Centauri Insurance.

Catastrophe bond funds, as measured by the Plenum CAT Bond UCITS Fund Indices, lost ground for the first week since mid-October as the effects of continuing spread widening and the resulting price adjustments dented performance a little.