-
Some $415mn of capacity entered the market last year.
-
Exposure updates played a greater role than expected.
-
The outlook for M&A activity is brighter after 2023 returns.
-
The carrier is designing an investable portfolio of long-tail risk.
-
Sponsors still secured terms that were favourable relative to traditional cover.
-
Aside from the one-year view, 2023 remixes the track record.
-
The conflict between US and Bermuda legal systems offers no easy route for counterparties to fraud-impacted transactions.
-
Of the 18 top-tier ILS managers, 10 recorded growth, while eight were flat or down.
-
Typical ILW attachment points for US peak perils have fallen from $60bn to $40bn-$50bn as the market awaits the final Hurricane Ian number from PCS.
-
The sidecars segment has been attracting inflows after returns hit a high note in 2023.
-
Broker-dealers' year-ahead forecasts have undershot total final issuance in three of the last five years.
-
Reinsurers are making some adjustments to secure target signings but appetite to grow is finely balanced.
-
Projected 2024 ILS returns remain historically high, but signs of increased appetite for top-layer cat risk and top-end retro raise questions over how long this will last.
-
New and returning sponsors, diversifying European wind risks and early placement of US hurricane coverage all helped new issuance to smash market expectations.
-
Anticipations of a tug-of-war around a ‘flat to slightly up’ pricing renewal have indeed come to fruition.
-
The year brought a degree of closure on the loss-hit years of 2017-2021, while the outlook remains changeable for ILS managers.
-
ILS managers are still waiting for hard market growth.
-
Analysis by Lane Financial concluded that ILS returns will likely be double-digit-to-high-teens in 2024.
-
With more ILS managers chasing the popular bond space, how will new operators differentiate themselves?
-
A strong outlook for sidecar profits in 2023 is rebuilding investor confidence but one to three years of good performance will be needed to sustain it more fully.
-
Experts at the Trading Risk New York conference emphasised in-built cyber risk protections from defences to exclusions, as ILS managers grapple with understanding the peril.
-
Cat bond investors are sufficiently capitalised to fulfil demand from an anticipated strong pipeline of new issuance in Q4.
-
ILS capacity in the form of retained earnings and new inflows is shaping up to meet growing demand for reinsurance and retro coverage.
-
The broker studied the impact of 14 major cyber events in its attempt to dispel ILS manager fears of a ‘double whammy’ cyber event that would also impact financial markets.
-
The supply-demand dynamics are all pointing in ILS markets’ favour, so long as hurricane season goes quietly.
-
The ratings agency has said ILS firms could encounter “pent-up demand” from cedants during the January 2024 renewal.
-
Hurricane Idalia is still live, but the storm’s track reassured market participants that it will be a relatively minor loss.
-
If the assets of the cell form part of the Vesttoo estate, this may impact the priority of returning associated capital to cedants.
-
Total reinsurance capital will climb to $560bn, ahead of last year but behind the 2021 peak of $570bn.
-
The industry’s ability to draw new capital will hinge on the outcome of the Atlantic hurricane season.
-
Loss estimates from Aon, Gallagher Re, Swiss Re and Munich Re all point to a significant component of severe convective storm losses.
-
Most forecasters now predict above-average storm activity for the Atlantic as a result of record-high sea-surface temperatures.
-
At least six aggregate bonds offering convective storm cover have been marked down by around an average of more than 20% on the secondary market.
-
Risers and fallers emerge within peer group of larger ILS firms, with Twelve Capital and Pillar the fastest growing in H1.
-
Insurance Insider has gathered data on geographical areas prone to cat events, which are outside of southeastern US states, that keep weather experts awake at night.
-
The company’s targeted Vescor cat bond would have provided collateral to meet auto and other obligations, but there were multiple structural points of risk for investors.
-
Fronting companies typically hold premiums in reserve meaning that credit exposure to letters of credit on Vesttoo transactions should only be required in the event of deteriorating losses.
-
Some sources have called for more transparency on secondary trades, though others note the buy-and-hold nature of the market limits trading appetite.
-
The cat bond market has benefited from hardening rates and more remote structures.
-
ILW limit of around $1bn could change hands depending on where the Hurricane Ian industry loss number settles.
-
At this week's Bermuda Climate Summit, speakers heralded the Island's future as a centre of excellence for climate-related innovation and risk transfer.
-
Cat bond issuance in H1 at around $8.6bn was almost a match for full-year 2022 volumes at $8.9bn, as the market staged a recovery at a pace that surprised many participants after a challenging second half last year.
-
Compelling rates are on offer for markets willing to write wildfire risk in the sunshine state.
-
A Guy Carpenter report recently noted that risk models are converging for the most remote risk levels.
-
The life segment has shifted from its genesis in mortality and morbidity risk transfer as lapsed risk deals have proliferated.
-
Most forecasters predict below-average activity in the region – but opposing weather phenomena mean uncertainty is higher than usual.
-
Even clean accounts in the admitted space are seeing rate increases of 15% year on year, while loss-hit accounts in Florida were slapped with a 100% rate increase for June 1.
-
Early private deals have provided far more stability in this year’s renewal than last.
Most Recent
-
Beazley to offer additional follow capacity via Ki
28 March 2024 -
Brit returns $20.8mn to third-party investors in 2023
27 March 2024