Quota Share

Oxbridge Re Ltd., a Cayman Islands based reinsurance firm, has launched an initiative through which it aims to sponsor the issuance of digital or tokenized reinsurance securities, that will be used to raise capital and support collateralized contracts underwritten via its sidecar, Oxbridge Re NS.

Travelers executives revealed today that, as part of the investment the giant US insurer made into Fidelis Insurance Holdings, the arrangement also featured a relatively significant 20% quota share reinsurance deal, that will see Travelers able to benefit from hard reinsurance market returns.

Stone Ridge Asset Management, the New York based asset manager an alternative risk premia focus, including reinsurance and insurance-linked securities (ILS), has provided US $100 million in capital to support an innovative retrocession cyber quota share arrangement for global reinsurance firm Hannover Re.

Home insurtech Hippo has renewed its reinsurance program for 2023 and its executives say the terms secured were improved year-on-year, which could be related to it having another year under its belt and an expanded book of business, providing more confidence to its reinsurers.

Re/insurer MS Amlin has sponsored a third capital market arrangement that provides it with Asian property catastrophe retrocessional protection and for 2023 the company has upsized its collateralised reinsurance sidecar arrangement, with Phoenix 3 Re Pte. Ltd. coming out at $45 million.

Stone Ridge Asset Management’s mutual insurance-linked securities (ILS) fund that is structured in an interval style has delivered a positive annual return in the period to October 31st 2022, despite its broad exposure to hurricane Ian.

It appears that investors in the collateralized reinsurance sidecar vehicle of Oxbridge Re Ltd., the Cayman Islands based reinsurance firm, may support the insurers’ losses from hurricane Ian, as their share of income from the vehicle was recorded as zero for the third-quarter.

It feels a little negative to focus on just two ILS fund strategies in this way, but as the Stone Ridge Asset Management mutual insurance-linked securities (ILS) and catastrophe bond funds are the only ones that are priced on a daily basis, they are providing valuable insights for the rest of the ILS market in […]

Another indication of the impacts of hurricane Ian for the insurance-linked securities (ILS) market is in how the publicly available net asset values of mutual catastrophe bond, ILS and reinsurance linked investment funds have been moving.

With major hurricane Ian approaching its Florida landfall, the main mutual insurance-linked securities (ILS), catastrophe bond and reinsurance linked investment funds have experienced some declines, with Stone Ridge Asset Management’s strategies leading the way.