reinsurance

Insurance industry losses from the early June 2024 flooding that impacted southern parts of Germany are initially estimated at close to €1.6 billion by catastrophe data aggregator PERILS AG.

Porch Group, the owner of insurer Homeowners of America Insurance Company (HOA) which was impacted by the Vesttoo reinsurance letter of credit (LOC) collateral fraud, has responded to broker Gallagher’s motion to dismiss the legal case Porch had raised, saying it believes the company failed to satisfy the obligations of their contract.

Oxbridge Re Ltd., the Cayman Islands based reinsurance company, has announced the successful raising of $2.88 million for its sidecar structure through EpsilonCat Re tokenized reinsurance securities issued by its subsidiary SurancePlus Inc.

A new private catastrophe bond transaction has come to light, as Artemis has learned that Mangrove Risk Solutions Bermuda Ltd., the platform operated by Marsh McLennan and reinsurance broker Guy Carpenter, has issued a new $20 million Mangrove Risk Solutions Bermuda Ltd. (Series 2024-D) transaction.

Insured losses from natural catastrophe events around the globe are estimated to be “at least” $61 billion, which is 25% above the decadal average and reinsurance broker Gallagher Re notes that yet again US severe convective storm (SCS) events have driven the majority.

We will be holding our next catastrophe bond and insurance-linked securities (ILS) market conference in London on Tuesday September 3rd, but the Super Early Bird rate for tickets to Artemis London 2024 will end later this week, so we urge you to register soon to secure the best price attendance.

Progressive, the US primary insurance giant, has reversed its previously announced $95.1 million reinsurance recovery from May, saying that its loss estimates have now fallen. But the insurer noted that its aggregate reinsurance remains near its attachment.

Groupama has now secured its targeted €150 million of multi-year and fully-collateralized windstorm reinsurance protection from the new Quercus Re DAC 2024-1 catastrophe bond issuance, while the coverage has been secured at reduced pricing, as the notes priced at the lower end of initial guidance, Artemis has learned.

Insured losses from natural catastrophes are expected to continue rising faster than economic growth and while, for now, the insurance and reinsurance market recalibrates its models to these higher loss trend, it requires more resources (capacity) to meet this growing need for disaster protection, Swiss Re has explained.

Depending on the outcome of the hurricane season and the occurrence of other catastrophes, investors in catastrophe bonds could be on-track to meet or even exceed target returns in 2024, with cat bond market yields still elevated and the fundamentals of the insurance-linked securities (ILS) market strong, analysis from Twelve Capital explains.