Insurance linked securities news, ILS news

CoreLogic, the risk modelling and catastrophe data company, has provided an initial estimate for insured losses from the Los Angeles, California wildfires, saying the total is expected to fall in a range from $35 billion to as high as $45 billion.

Today, we are delighted to reveal the full agenda for our upcoming catastrophe bond and insurance-linked securities (ILS) conference. Artemis ILS NYC 2025 is being held in New York on February 7th. Tickets are still available but selling fast, so please register soon to ensure you can join us at the event.

Amundi US Investment Management has reported that its Pioneer CAT Bond Fund strategy delivered a 14.27% return in the year to October 31st 2024, while assets under management in the strategy have continued to expand through the end of the year.

Howden’s capital markets and insurance-linked securities (ILS) specialist unit, Howden Capital Markets & Advisory (HCMA), has announced that Philipp Kusche, who serves as the firm’s Global Head of ILS & Capital Solutions, will take on an expanded role as Chairman of HCMA, Europe, with Mitchell Rosenberg becoming Co-Head of Global ILS.

The California Earthquake Authority (CEA) is discussing the need for either a pre-funded subsequent or second-event funding tower (with risk transfer and reinsurance perhaps a part of it), or the infrastructure for one, that would support its functions after a significant earthquake loss that depletes its claims paying ability.

FEMA has renewed the National Flood Insurance Program’s (NFIP) traditional reinsurance tower for 2025, securing 22% more in protection for this calendar year, at just over $757.8 million, from a broader panel of reinsurer counterparties.

With wildfires becoming a more recurring peril for the California property insurance market, alternative capital may be available to provide coverage, including through multiple-peril alternative reinsurance capital instruments, however “pricing is likely to remain a sticking point” according to analysts at Morningstar DBRS.

Stone Ridge Asset Management, the New York based alternative risk premia focused investment manager, appears to have taken the strongest action in terms of marking down its mutual catastrophe bond and insurance-linked securities (ILS) funds on potential exposure to the California wildfires, while most other strategies in the market have barely moved.

Euler ILS Partners, the specialist insurance-linked securities (ILS) investment manager, has issued an event report for the California wildfires, saying the company believes the insurance industry loss may be between $15 billion and $17 billion, but highlighting this depends on costs related to factors such as business interruption and additional living expenses.

Elementum Advisors, LLC, the alternative investment manager that specialises in collateralized natural catastrophe event reinsurance investments, has unveiled a new strategy that enhances the firm’s higher-yield strategy complement.