Parametric insurance news

Reinsurance broker Gallagher Re has said that hurricane Otis will be one of the costliest natural catastrophe events in Mexico’s history, with a multi-billion-dollar insurance market loss anticipated because of the devastating impacts of the storm.

Aon operated Bermuda-based segregated account company White Rock Insurance (SAC) Ltd. has issued another private catastrophe bond in the Japanese Asagao parametric earthquake series, with a $40 million Asagao VII transaction completed recently.

Specialist insurance and reinsurance-linked investment manager Twelve Capital has highlighted some uncertainty with respect to the final central pressure figure that will get reported for hurricane Otis, but still believes it is probable the Mexican government’s exposed catastrophe bond tranche will face a 50% loss of principal.

There is a “high probability” that holders of the $125 million Pacific hurricane tranche of the Mexican government’s IBRD / FONDEN 2020  catastrophe bond face a 50% loss of notional, which would equate to a $62.5 million loss for the cat bond market, investment manger Plenum has explained.

African Risk Capacity Limited (ARC Ltd.) has entered into a partnership with insurtech Floodbase that will see the pair working to develop, distribute, and scale parametric flood insurance products for Africa.

The Government of Mexico’s catastrophe bond is facing its most severe threat of the current Pacific tropical cyclone season, as hurricane Otis has rapidly intensified to a category 5 storm and its central pressure has deepened sufficiently to trigger the $125 million IBRD / FONDEN 2020 tranche of notes that are exposed.

The CCRIF SPC (formerly known as the Caribbean Catastrophic Risk Insurance Facility), has made two payouts for Caribbean countries parametric excess rainfall insurance policies, after tropical storm Philippe in early October.

In what could turn out to be a ground-breaking development, parametric disaster insurance risk pools African Risk Capacity Limited (ARC), Caribbean Catastrophe Risk Insurance Facility (CCRIF SPC), the Pacific Catastrophe Risk Insurance Company (PCRIC), and the Southeast Asia Disaster Risk Insurance Facility (SEADRIF), have signed an MOU and will explore a joint reinsurance facility to […]

Howden, the global insurance and reinsurance broking and underwriting group, has launched a new Howden Climate Parametrics unit, to bring together its parametric risk transfer, climate risk and resilience, capital markets and insurance-linked securities (ILS) expertise, to deliver responsive risk transfer solutions.

Risk capital and reinsurance solutions broker Augment Risk has announced the launch of a Parametric risk transfer division which will be led by former Inver Re and Aon weather and parametrics specialist Kurt Cripps.