Reinsurance sidecars news

Some 67% of insurers and reinsurers surveyed by investment giant BlackRock said they intend to utilise reinsurance sidecars over the coming year, while 54% expect to increase their use of third-party capital sources, underscoring the continued push to more efficient management of capital in the sector.

The newly launched Fortitude Carlyle Asia Reinsurance, Ltd. (FCA Re) reinsurance sidecar, a joint initiative between Fortitude Re and global investment firm Carlyle, has been capitalised with more than $700 million in deployable capital from a range of investors.

A new reinsurance sidecar structure has been launched to support business underwritten by Fortitude Re, as another major player looks to efficient sidecar capital vehicles to support and enhance its business.

As per a survey by Moody’s Ratings, over the next year, reinsurance buyers have indicated a strong preference for catastrophe bonds when it comes to utilising alternative capital, while insurance-linked securities (ILS) funds are expected to see increased demand too.

As the insurance-linked securities (ILS) industry meets in Bermuda over the next few days at the 2025 edition of the ILS Bermuda Convergence event, the organisers believe that the island is “uniquely positioned to host next-generation risk financing solutions” with its deep connectivity between reinsurance and ILS capital markets.

In a recent article, global broker Aon has highlighted that the continued growth of alternative capital sources is enabling more efficient risk management by bringing solutions closer with underlying risks.

As the insurance-linked securities (ILS) market moves into 2026, GC Securities aims to grow its business by expanding in catastrophe bonds, property sidecars, casualty ILS, multiline facilities, and surplus notes, while also putting a particular focus on artificial intelligence, senior leaders from the firm told Artemis in an interview.

MS Amlin, the Lloyd’s global re/insurer has appointed former Nephila executive and insurance-linked securities (ILS) expert Darren Toh as a Senior Underwriter within its Asia Pacific division, as the company continues to expand its presence and invest in strategic growth across the region.

Bamboo Ide8 Insurance Services, LLC., part of White Mountains Insurance Group, Ltd., has announced a new multi-year transaction that expands the Greenshoots Re Ltd. collateralized reinsurance sidecar vehicle to cover an E&S program jointly launched with specialty insurer Accredited.

The combined assets under management of the mutual insurance-linked securities (ILS) funds managed by the Pioneer Investments team have now roughly doubled in the last year, as the total net AUM across the Victory Pioneer CAT Bond Fund and the Pioneer ILS Interval Fund has reached almost $2.16 billion this month.