Insurtech, Insurance Technology in reinsurance and insurance-linked securities (ILS)

The plan of reorganisation under Chapter 11 for the bankruptcy of beleaguered insurtech Vesttoo has been conditionally approved by the Delaware court judge and can now go to a vote, but documents show that the eventual recovery for unsecured creditors may be minimal.

Oxbridge Re Ltd., the Cayman Islands based reinsurance company, is anticipating that investors in the first series of tokenized reinsurance securities issued by its subsidiary SurancePlus Inc. will receive a roughly 42% return for the first treaty year.

It appears that, in aggregate, creditors to the bankruptcy of forged reinsurance letter of credit (LOC) linked insurtech Vesttoo have filed over $4.8 billion in claims against the company and its entities, which provides another signal of the ramifications of and amount of value the market feels has been lost due to the fraud.

Insurtech Floodbase, which acts as a data provider and reporting agent for parametric risk transfer arrangements, has partnered with commercial insurance and reinsurance broking group Oneglobal to develop parametric flood insurance solutions for the Asian region.

The Committee of Unsecured Creditors in the Chapter 11 bankruptcy case of insurtech Vesttoo have filed a request with the court to allow them to conduct legal discovery on the main bank named in the letter of credit (LOC) reinsurance collateral fraud, China Construction Bank.

Artemis has learned that fronting specialist Clear Blue Insurance has filed a lawsuit against broking giant Aon, in relation to the reinsurance letter of credit (LOC) fraud perpetrated by insurtech Vesttoo.

Swiss-headquartered fintech Cerchia has continued to build momentum around its capital markets focused direct risk transfer platform, with a particularly notable cyber trade, that saw a cyber industry-loss warranty (ILW) transacted using a PCS Global Cyber industry-loss index trigger.

We’re told that the sum total of assets and so value that could be distributed in Vesttoo’s pending liquidation under the bankruptcy proceedings, is estimated to be below $25 million, which suggests creditors that lost significant value due to the reinsurance letter of credit (LOC) fraud are likely to be left unsatisfied, so may look […]

The financial strength ratings of fronting specialist Clear Blue Insurance Insurance Group have been removed from negative watch by AM Best, but the rating agency notes that some uncertainty remains, due to the impacts and effects of the letter of credit (LOC) fraud instigated by employees of insurtech Vesttoo.

Insurtech Nayms has facilitated a first secondary trade of participation tokens on its platform, as two parties traded a participation in what was the first cryptocurrency denominated industry loss warranty (ILW) transaction.