Investments

The Athene Co-Invest Reinsurance Affiliate (ACRA) insurance-linked sidecar vehicle is expected to raise further capital, with investor discussions ongoing and senior executives say the third-party capital vehicle will become a significant source of capacity for its pension risk transfer deals. Commitments to the Athene Co-Invest Reinsurance Affiliate (ACRA) insurance-linked sidecar vehicle have reached $3.2 billion,…

Property insurance rates around the globe continue to accelerate higher, with commercial line rate increases leading the way and U.S. property rates accelerating fast, suggesting that reinsurance rates will continue to rise in tandem and to keep up. Following a number of years where catastrophe losses around the globe heavily impacted the commercial and homeowners…

The California Earthquake Authority (CEA) has now settled for a 75% upsizing of its latest catastrophe bond issuance, with the Sutter Re Ltd. (Series 20201- & 2020-2) issuance now fixed to provide $700 million of collateralised earthquake reinsurance protection. The not-for-profit residential earthquake insurer of California had returned to the catastrophe bond market in April…

The Texas Windstorm Insurance Association’s (TWIA) mid-year 2020 reinsurance and catastrophe bond renewal looks set to depend on pricing this year, as the insurer is aware of challenges faced in both marketplaces and will look to maximise on coverage at the best possible and most efficient pricing as it builds its 2020 reinsurance tower. Speaking…

The sale of global reinsurance firm PartnerRe to French insurance group Covéa has been called off, after attempted renegotiations over the price with seller EXOR in the wake of the Covid-19 pandemic failed to find an agreement. Covéa was set to acquire reinsurance firm PartnerRe from owner EXOR, the Italian holding company and investment entity…

Investors seeking diversified sources of return, particularly with little correlation to broader financial market factors, remain key drivers of allocations to the alternative asset classes of the world and appetite for these assets continues to grow. Data from alternative investment specialist information service provider Preqin shows that investors allocating to alternatives continue to rank the…

Current insurance and reinsurance market dynamics suggest that it could be an opportune time for startups to enter the property/casualty market, according to Brad Adderley, Partner at Appleby, Bermuda. As the ongoing Covid-19 pandemic continues to alter the global economic outlook and influence the dynamics of the risk transfer space, there could be an opportunity…

The United States Treasury has shown in a letter that it is opposed to legislative moves that could force retroactive business interruption claims related to the Covid-19 pandemic onto the insurance and reinsurance industry. The business interruption issues related to the Covid-19 coronavirus pandemic continue to gain air time, with uncertainty over the eventual influence…