insurance

The innovative Sierra Ltd. (Series 2019-1) catastrophe bond deal, that seeks parametric U.S. earthquake protection for an investment manager’s portfolio of mortgage related assets, has a new upsized target, now aiming to secure up to 50% more, or $225 million, of coverage for the sponsor.

Price inflation is both present and substantial in reinsurance program placements, as the traditional process of a brokered execution can result in misaligned market incentives, according to programmatic insurance and reinsurance risk transfer marketplace insurtech Tremor Technologies Inc.

Reinsurance, specialty and wholesale broking group Ed continues to build its Bermuda market platform, adding another experienced hire in Mark Simons, who joins the firm to lead business development and production on the island.

Insurer Zurich and reinsurance firm Hannover Re have delivered an £800 million longevity swap arrangement for an unnamed UK pension fund belonging to a FTSE 100 firm, protecting it against the risk of pensioners and members living longer than forecast.

Investment banking giant Goldman Sachs published an updated environmental policy yesterday, with catastrophe bonds, insurance-linked securities (ILS) and other climate related risk and reinsurance products again taking a central stage within it.

The University of Cambridge Centre for Risk Studies has updated its annual Global Risk Index, finding that the value of gross domestic product (GDP) at-risk from catastrophic events continues to rise, but highlights insurance capital as a key tool for global recovery.

Spanish insurance and reinsurance group Mapfre said it believes typhoons Faxai and Hagibis will drive more than US $20 billion of industry losses to the sector, while it expects to take a hit of around $156 million, including some impacts from recent rioting in Chile.

Kelvin Re Limited, a rated reinsurance company run by the Credit Suisse Insurance Linked Strategies Ltd. team and backed by investments from the Abu Dhabi Investment Council has taken an injection of capital to strengthen it in 2019.

The economic consequences of climate change may prove particularly severe for insurance and reinsurance companies in the property and casualty (P&C) space, presenting both a threat and an opportunity, but the latter may require access to capital to take full advantage of it.

Flooding and severe storms across Europe during November are expected to drive multi-billion economic losses across the region, with insurers likely to pick up a reasonable proportion of the bill.