Insurance-linked investments

Alternative reinsurance capital, largely deployed in insurance-linked securities (ILS) formats, remained static at its $100 billion at the mid-point of 2023, according to insurance and reinsurance broker Aon.

While the industry will spend its time poring over the initial findings of the fraud investigation at Vesttoo, one thing that stands out is the fact internal red flags were raised over the two purported Chinese “investor” groups as early as 2021, while the report also raises a question over whether they are even real […]

The investigation and audit undertaken within beleaguered insurtech Vesttoo by its board, with the help of Kroll, has now filed an initial report, saying that co-founders Yaniv Bertele and Alon Lifshitz were complicit in the fraud, as well as two execs connected to the network that found capital for the company.

W. R. Berkley Corporation, the US headquartered insurance holding company, has ceded 24% more in premiums to its Lifson Re collateralized reinsurance sidecar vehicle in the first-half of 2023, as it made use of the higher level of investor commitments available to it this year.

Commenting on some of the happenings across the global reinsurance market today, in advance of next week’s Monte Carlo Rendez-Vous, rating agency Fitch said that it believes the Vesttoo collateral fraud case could drive a flight to quality and also reduce the use of letters-of-credit (LOCs) across the reinsurance industry.

The reinsurance arm of Howden Broking Group, Howden Tiger, has hired Tim Radford from insurance and reinsurance broker Aon as Executive Director, Capital Solutions.

In announcing its new three-year strategic plan this morning, called Forward 2026, global reinsurance player SCOR has highlighted an ambition to continue expanding its insurance-linked securities (ILS) asset management activities, while seeking increased fee income from retrocession partnerships in the coming years.

Nephila Syndicate 2358, the specialty lines focused syndicate at Lloyd’s operated by insurance-linked securities (ILS) investment manager Nephila Capital, is one of the partners to and beneficiaries of global specialty insurer Mosaic’s syndicated capital program.

Former Vesttoo CEO Yaniv Bertele has claimed no knowledge of the “document falsification” that occurred at the company, seeking to distance himself and co-founder Alon Lifschitz from the fraud, while also claiming that the Board investigation is conflicted given a connection to auditor Kroll.

The returns of insurance-linked securities (ILS) funds as a group continue on a record-setting pace through 2023, as the Eurekahedge ILS Advisers Index delivered 0.82% for July, taking the year-to-date to 7.83%.