Beazley
-
The partnership will add more capacity on the platform from April.
-
The deal will provide coverage for named storm and earthquake events in the US, Canada and parts of the Caribbean.
-
The transaction is the second cyber cat bond in 144A format to price and follows Axis’s Long Walk Re deal in November.
-
The carrier is seeking wind and quake coverage for Lloyd’s syndicates 623, 2623 and 3623, Beazley E&S Inc. and Beazley Insurance.
-
The 144A cyber cat bond deal has increased in size from an initial target of $75mn.
-
The pricing for the Class A notes has also adjusted to 1300bps.
-
The bond is being issued via the Lloyd’s London Bridge 2 PCC Limited structure.
-
PoleStar Re will provide worldwide coverage for any cyber event or series of cyber events.
-
The Smart Tracker Syndicate 5623 was established with the aim of delivering a ‘smart beta’ portfolio to investors.
-
A total of $386mn has been issued in private cat bond deals this year.
-
This came after the firm said it had begun the process of moving its US E&S business off its Lloyd’s paper as it sets up a new E&S carrier.
-
The carrier reported a 66% increase in GWP for its property business.
-
Guy Carpenter was the sole placing broker sourcing capacity for the tie-up.
-
The insurer said it received “significant investor interest in building out additional tranches” since launching the market’s first cyber bond in January.
-
Beazley executives spoke of further growth prospects in the class, after its results revealed a 79% combined ratio for its cyber division in 2022.
-
Beazley’s bond was hailed as a “great first step” but challenges remain, although others are already working on narrower cloud outage transactions.
-
Beazley’s $45mn first-time cyber cat bond offered all-perils coverage, though some expected early deals to start with limited scope.
-
The cat bond will pay out to Beazley if total claims arising from a cyber attack on its clients surpass $300mn.
-
Will Roscoe, who has managed the Smart Tracker since 2019, has been named active underwriter.
-
She succeeds William Mills, who left his role as group head of ceded re and third-party capital for Allianz.
-
The London-listed carrier said that market dislocation could last for years and had created a strategic opportunity for the carrier.
-
The reinsurance market next year will be a “challenging environment”, which Beazley expects to “shift significantly”, according to CEO Adrian Cox.
-
Business will be written directly into Syndicate 5623 from 1 January 2023.
-
The insurer said it believed climate change was making property risk less commoditised and more complex.
-
Beazley’s own in-house ESG goals were put under as much scrutiny by its third-party capital providers as its underwriting strategies when the insurer launched ESG-focused Syndicate 4321 at the start of this year.
-
The follow-on Lloyd’s syndicate posted a profitable combined ratio of 98% in 2021.
-
The gross written premium increase was driven predominantly by cyber and executive risk, which grew by 44% year on year.
-
Stamp capacity for the “beta” syndicate is set to climb by 42% to £204mn.
-
Syndicate 4321 will operate as a consortium led by Syndicates 623 and 2623, providing capacity for companies that meet ESG criteria.
-
The firm is working on an ESG consortium to add to the third-party capital division from next year.
-
he consortium and follow-only SIAB a targeted for a 1 January 2022 launch.
-
The insurer’s overall top line rose 16% as cat claims reached $70mn.
-
The head of Beazley's Smart Tracker discusses a variety of new smart-beta investment pitches and argues that broker M&A will drive more facilitisation of risk transfer.
-
The $350mn follow-capacity solution will cover cargo, specie, terror, financial products, healthcare and marine.
-
Analyst Philip Kett suggested that the carrier has "adequate but not comfortable levels of capital".
-
Contingency losses will result in a total loss and an increased renewal cost.
Most Recent
-
ILS Advisers index gains 0.85% in March
03 May 2024 -
Perils ups Storm Ciaran estimate to EUR2.04bn
03 May 2024