Insurance linked securities news, ILS news

Here are the ten most popular news articles, week ending 30th June 2019, covering catastrophe bonds, ILS, reinsurance capital and related risk transfer topics. To ensure you never miss a thing subscribe to the weekly Artemis email newsletter updates or get our email alerts for every article we publish.

The subject of whether the two main government-sponsored enterprises (GSE’s) in mortgage risk, Fannie Mae (the Federal National Mortgage Association) and Freddie Mac (the Federal Home Loan Mortgage Corporation), should buy earthquake insurance was raised at a Senate hearing this week.

City National Rochdale Select Strategies (CNRLX), an industry loss warranty (ILW) focused mutual insurance-linked securities (ILS) investment fund, has continued to steadily grow its assets during its last reported quarter, although some loss impacts remain visible in the fund portfolio.

We’ve now finalised the full speaker line-up and agenda for our fourth annual insurance-linked securities (ILS) conference in Asia, ILS Asia 2019, held July 11th.

Investing in insurance-linked securities (ILS) and other reinsurance linked assets that are broadly uncorrelated with wider financial markets are gaining in appeal, as alternative asset class allocations grow and a focus on ESG quality assets increases.

Catastrophe risk modellers JBA Risk Management and insurtech start-up FloodFlash have teamed up to launch what they claim to be the first property level parametric flood insurance product.

AXIS Capital is set to execute on its latest and fourth catastrophe bond transaction at attractive terms, as the Northshore Re II Ltd. (Series 2019-1) has upsized 65% to $165 million, while pricing dropped to below guidance.

Reinsurance giant Swiss Re’s return to the catastrophe bond market has been highly successful, as its new Matterhorn Re Ltd. (Series 2019-1) deal has increased in size by 150% to become a $250 million issuance, while the notes pricing settled at the tight end of guidance, we can report.

The continued loss creep that has affected reinsurance markets this year has hit the listed retrocessional reinsurance investment fund operated by Markel CATCo Investment Management, resulting in a decline of -18% in both share classes of the ILS fund in May.

Retrocessional reinsurance buyers have been out testing the market in recent weeks, looking to see what coverage can be purchased and at what price.