trapped collateral


ILS funds reserve for COVID BI exposure on some European cat programs

Some insurance-linked securities (ILS) funds that invest in collateralised reinsurance contracts have been setting reserves for potential exposure to business interruption losses due to the COVID-19 pandemic in a handful of the major European catastrophe reinsurance programs, we understand. We're told that these reserves have largely been set in October, with read the full article →

Reinsurance could take brunt of COVID second wave losses: Barclays

Reinsurance capital could find itself on the hook for the largest share of COVID-19 losses from second waves of the virus sweeping Europe, with primary insurers largely happy with their loss-picks so far, analysts at Barclays have said. As Europe entered its second wave proper of the COVID-19 coronavirus pandemic in read the full article →

CATCo successful in releasing another $8m of capital from side pockets

The CATCo Reinsurance Opportunities Fund Ltd., Markel CATCo Investment Management’s listed retrocession focused investment fund, has successfully secured another release of trapped capital which will be returned to its investors. The Markel CATCo managed retrocessional insurance-linked securities (ILS) fund has been successfully unlocking trapped capital that had been set aside for read the full article →

PCS’ Johansmeyer expects capital availability could be a major issue

The implications of the ongoing Covid-19 pandemic on the re/insurance market suggests that the availability of capital is going to be a major issue, according to Tom Johansmeyer, Head of PCS. Yesterday, Johansmeyer delivered a thought-provoking keynote to open the penultimate day of the annual re/insurance and insurance-linked securities (ILS) conference, read the full article →

Around 15% of ILS funds have COVID BI loss reserves of over 4%

Some higher-risk insurance-linked securities (ILS) and collateralised reinsurance funds have been forced to reserve more than 4% of their fund assets in case of losses from business interruption claims caused by the COVID-19 pandemic, a report suggests. For the ILS fund market, the main exposure to losses from the pandemic is read the full article →

Trapped ILS collateral expectations rising with cat frequency & COVID

Expectations of just how much insurance-linked securities (ILS) collateral could be trapped at the end of 2020 are on the rise, alongside the frequency of losses and total costs from catastrophe events in the United States, it seems. Uncertainty over the COVID-19 pandemic and its potential losses for the insurance and read the full article →

Expect more newcos come January: David Priebe, Guy Carpenter

David Priebe, chairman of Guy Carpenter, expects to see a further $3.5 billion to $7.5 billion of capital enter the industry before 2021, either in the form of reinsurance start-ups or as part of the relaunch of existing entities. Speaking to Artemis during the start of the official renewal season negotiations, read the full article →

Multiplicity Partners targets acquisitions of ILS side pockets

Multiplicity Partners, a boutique Zurich-based investment firm that specialises in secondary opportunities and providing liquidity solutions to holders of private market funds and distressed assets, is targeting the insurance-linked securities (ILS) space and wants to offer a solution to those experiencing trapped ILS collateral. Having been active in the secondary market read the full article →

Market hardening vital after disappointing catastrophe response: Artemis Live

The long-awaited, significant hardening of the reinsurance market, underpinned by price increases and improving terms and conditions (T&Cs), is vital following the disappointing response to catastrophe events over the past few years, according to experts from across the re/insurance and insurance-linked securities (ILS) space. Artemis, in collaboration with sister publication Reinsurance read the full article →

CATCo gets another $68.9m of trapped collateral back from side pockets

The winding down and running-off of Markel CATCo Investment Management’s retrocession focused investment fund, the CATCo Reinsurance Opportunities Fund Ltd., continues apace, with the manager securing another $68.9 million release from side pockets established for potential loss reserves. The Markel CATCo managed retrocessional insurance-linked securities (ILS) fund has been successfully retrieving read the full article →