industry loss trigger

Ariel Re has increased its target for the new Titania Re Ltd. (Series 2024-1) catastrophe bond transaction, with the indicative size raised by roughly 57% to secure $275 million in multi-peril industry-loss triggered retrocessional reinsurance, while at the same time the price guidance has been reduced.

Global reinsurance firm Ariel Re has returned to the catastrophe bond market looking to secure $175 million or more in multi-peril industry-loss triggered retrocession through the Titania Re Ltd. (Series 2024-1) transaction, a deal that had initially been mooted earlier in the year.

With global political instability spelling a rise in Strike, Riot, and Civil Commotion (SRCC) events, PCS (a division of Verisk) has highlighted the urgent need for a robust risk assessment and transfer tool or, SRCC index.

We’re told by sources that global reinsurance player Ariel Re has opted to pull its latest catastrophe bond issuance as a response to the dynamic and higher cat bond market pricing environment, so the Titania Re Ltd. (Series 2024-1) transaction will not now be issued.

Global reinsurance firm Ariel Re is back in the catastrophe bond market for a fourth issuance in the Titania Re series of deals, targeting $100 million or more in multi-peril industry-loss triggered retrocession, through this Titania Re Ltd. (Series 2024-1) transaction.

Nephila Capital, the insurance-linked securities (ILS) investment manager owned by Markel, has now successfully secured $90 million in aggregate industry-loss index based retrocessional reinsurance for its flagship Lloyd’s syndicate 2357, through its Atela Re Ltd. (Series 2024-1) catastrophe bond issuance.

Artemis understands that the price guidance has been updated at elevated levels for both tranches of the Atela Re Ltd. (Series 2024-1) catastrophe bond that is being sponsored by Nephila Capital to provide retrocession for its flagship Lloyd’s syndicate 2357.

Spreads for industry-loss index trigger catastrophe bond instruments have declined or tightened so much in recent months that indemnity cat bonds now look relatively more attractive for the first time, which necessitates a rethink about how cat bond portfolios are constructed, according to Florian Steiger, of Icosa Investments.

Nephila Capital, the insurance-linked securities (ILS) investment manager owned by Markel, is in the catastrophe bond market seeking $100 million or more in aggregate industry-loss index based retro reinsurance for its flagship Lloyd’s syndicate 2357, through an Atela Re Ltd. (Series 2024-1) cat bond issuance.

According to Artemis’ sources, activity in the industry-loss warranty (ILW) market has increased in the last few weeks, as reinsurance and insurance-linked securities (ILS) markets prepare for what is anticipated to be an active 2024 Atlantic hurricane season.