Insurance linked securities news, ILS news

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.

Broking group BMS has said that it expects the insurance and reinsurance market losses from the Los Angeles region of California wildfires are likely to exceed $25 billion, while analysts at KBW have analysed what an industry loss of up to $40 billion might mean for the market.

Artemis has learned that FEMA has increased its estimate for National Flood Insurance Program (NFIP) losses from hurricane Helene, raising the figure to $6.75 billion and as a result two FloodSmart Re catastrophe bond tranches have had their maturity dates extended, with partial repayments of principal to be made.

Catastrophe bond funds in the UCITS format continued their strong growth through the end of last year, reaching a new high of just over $13.8 billion in cat bond assets under management, which represents very impressive 26% growth through 2024.

Autonomous Research has raised its estimate for insurance and reinsurance market losses from the Los Angeles, California wildfires to $25 billion and the research firm believes as much as $18 billion of the total may come from the Palisades fire alone.

Altor Re Ltd, a new London based brokerage that specialises in placing insurance-linked securities (ILS) and reinsurance business globally, has officially been launched by founder Raj Jadeja. 

According to Thad Hall, Partner and Head of insurance-linked securities (ILS) Solutions at Augment Risk, the risk capital and reinsurance solutions broking firm, the ongoing growth trend with alternative capital is expected to continue throughout 2025, given the high returns for ILS relative to other assets.

The question of potential recoveries from subrogation of claims has emerged in relation to the ongoing wildfires in Los Angeles and Southern California, with electrical utility Southern California Edison in focus as questions arise over whether its equipment may have caused any of the fires.

We are delighted to reveal the final wave of speakers 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.