Opinion

Removing any competitor is a positive for ILS peers in a competitive time for fundraising, but it is not clear how much of a boost this will give RenRe.

Capital has begun to flow again after a challenging time for ILS fundraising in 2022 – but there is a clear shift underway.

There are enough drivers supporting the trend for cat bond segment growth that ILS managers are likely to be plugging this business heavily in the short term, even if it is less attractive in fee yield.

The new higher-rate world brings the threat of some investors staying in a risk-off mentality.

ILS managers have pioneered externally managed rated carriers, but have done so with cost-consciousness in mind.

Reinsurers congregating in Bermuda flagged a lack of interest in helping under-capitalised Floridian insurers and under-priced diversifiers, with positive implications for ILS participation.

Fermat’s John Seo divided the potential incoming capital broadly into “fast” and “slow” capital.

Should reinsurers retain the option of playing in ILS, or take a ‘go hard or go home’ approach?

The outcome over the debate on narrowing cat reinsurance coverage will not be an all-or-nothing bet, with all perils deals with exclusions not a polar opposite of named perils coverage.

Several structural factors, including the pricing cycle, make insurers more insulated from US activist states. 

High-yielding alternatives are taking away attention from this sector, with its complex narrative around recent losses, and diversification only goes so far in selling its story.

Announcements and interviews at the UN conference have shed light on the tools emerging to help carriers decarbonise their underwriting portfolios.