Retrocession
-
The reinsurer said retro pricing had ‘moved slightly in our favour’ at 1 January.
-
The depth of the retro market recovery will be an influential factor in the pace of the cat market slowdown from here.
-
The investment firm said cat bond spreads that are elevated relative to historical levels continue to offer an attractive entry point for investors.
-
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.
-
The pricing on the deal has settled below initial guidance at 7.5%.
-
The firm said it would cut its K-cession ‘significantly below 2023 levels’ and buy ‘broadly similar towers of non-proportional retro’ at 1 January.
-
Sang Hun Park previously spent nine years at Allianz before joining Munich Re as a senior origination manager in August 2021.
-
The capital management platform remains active but January renewals were fronted by the balance sheet.
-
The carrier has increased its retro capacity by 56% to EUR1.34bn.
-
More retrocession capacity is likely to be deployed during 2023 as pricing holds up across the primary, reinsurance and retro markets, according to Conduit Re.
-
The intermediary recorded “one of the hardest reinsurance markets in living memory” as primary rate increases slowed.
-
The exit highlights increasingly difficult conditions in the retro and reinsurance markets.
-
The carrier has become the latest in a string of reinsurers unwilling to write retro at 1 January.
-
The RenRe vehicle, formerly a major retro writer, has been a reduced force this year.
-
It is understood that Ascot will continue to write worldwide retro business.
-
Hannover Re said that it expected its total gross Ian losses to be slightly below EUR400mn.
-
Fidelis and MS Reinsurance are among the ceding companies that have support from Ajit Jain’s unit.
-
The firm’s European regional treaty cover shrank 9% to $398m.
-
The firm assigned a neutral outlook overall to ILS but is strongly positive on many non-life risks as it seeks diversifying strategies that can withstand inflation.
-
Rates have climbed 20%-35% since 1 January, and 40%-50% year on year, sources estimated.
-
It noted that its aviation and marine books are covered by retro although its exposure is “not very material”.
-
It will offer components for buyers looking for indemnity, parametric or blended coverage.
-
The carrier took a net EUR838mn of cat losses in the full year.
-
The carrier’s whole-account XoL retro also shrank by a similar margin.
-
Greater participation of cat bond investors in the retro market has some advantages alongside the risks.
-
Retro renewals have made major progress in early January, but programme gaps remain at some levels, with reinsurers left carrying more risk net.
-
Some programs had to be restructured as rates hardened and capacity flowed away from cat risk in some cases.
-
The move comes amid limited availability of annual aggregate cover.
-
CyberCube forecast further capital market capacity will hit the cyber insurance market next year.
-
1 January renewals are running late across the board as reinsurers hold out for improved terms, but the retro segment is the most challenged for capacity.
-
The carrier is looking to raise annual aggregate protection from the new ILS deal.
-
The retro renewals are barely underway, as a challenging fundraising environment and queries over loss experience has delayed the typical pace of progress.
-
The insurer said its plan was to fully transition the book to the fund.
-
The CFO said today’s favourable nine-month numbers were due to a sustained effort to improve P&C underwriting discipline.
-
Surpassing the $30bn threshold will trigger more occurrence covers, as another painful year looms for aggregate writers.
-
The convergence of traditional reinsurance and ILS has seen reinsurers’ fee income rocket over the past three years.
Most Recent
-
Zenkyoren secures $150mn of Japanese quake coverage
17 April 2024 -
Aspen and Pimco launch Bermuda casualty sidecar Pando Re
16 April 2024