Insurance
Cedants increasingly favour catastrophe bonds, Moody’s survey finds
Reinsurance cedants and buyers are increasingly looking to catastrophe bonds as options for accessing alternative sources of reinsurance capital, a new survey from rating agency Moody’s has found. Polling reinsurance buyers at property and casualty insurers, the survey asked for their plans with respect to insurance-linked securities (ILS) and alternative capital, finding that many cedants…
Read More2020 could be one of the “costliest years” for re/insurers: Althoff, Hannover Re
The COVID-crisis is “game-changing”, according to Hannover Re executive board member Sven Althoff. He compared it to events like 9/11 and Hurricanes Katrina, Rita and Wilma in 2005 in the impact it was having on the reinsurance cycle. “The difference compared to, for example 2001, is the fact that we are not seeing any immediate…
Read MoreHurricane Sally expected to drive significant NFIP flood losses: A.M. Best
Hurricane Sally’s extreme rainfall and storm surge are expected to drive significant insured losses for the National Flood Insurance Program (NFIP), putting its reinsurance panel and catastrophe bond investors on alert, according to A.M. Best. The rating agency said that the the U.S. Federal Emergency Management Agency’s (FEMA) flood insurance program and also private market…
Read MoreProgressive in $80m reinsurance recovery for August cat losses
Auto and property insurance focused Progressive Corporation recovered $80 million from its reinsurance in August, after the impacts of catastrophe losses during the month, in particular hurricane Laura and Isaias, triggered both its aggregate and per-occurrence protection. Progressive said that its property line of business combined ratio elevated to 147.1% for August 2020, driven by…
Read MoreFEMA begins 2021 flood reinsurance renewal process, may upsize program
The U.S. Federal Emergency Management Agency (FEMA) is back in the reinsurance market and seeking expressions of interest to participate in a January 2021 renewal of the National Flood Insurance Program’s (NFIP) traditional reinsurance program. Our sources suggest that for 2021 FEMA may look to increase the size of the traditional flood reinsurance program a…
Read MorePaskin and Butt named CEO’s of Convex Re (Bermuda) & Convex Insurance UK
Convex Group, the specialty insurance and reinsurance company founded by Stephen Catlin, has named two new CEO’s of its core underwriting entities, with Matt Paskin appointed CEO of Convex Re Limited (Bermuda) and Theo Butt CEO of Convex Insurance UK Limited. Both of these roles were previously held by Convex Group Co-Founder & Group Deputy…
Read MoreAllstate’s cat losses hit $985m in August on hurricanes Laura & Isaias
U.S. primary insurance giant Allstate has reported the highest monthly total of catastrophe losses it has suffered for some time, as hurricanes Laura and Isaias helped to drive the total to $985 million for August 2020. 11 catastrophe events in August drove $969 million of pre-tax catastrophe losses, while adverse reserve development on events from…
Read MoreIf It Can Rain, It Can Flood: Buy Flood Insurance
Rivers swollen by Hurricane Sally’s rains have devastated parts of the Florida Panhandle and south Alabama, and the storm’s remnants are forecast to spread the flooding to Georgia and the Carolinas. Many of the properties damaged will doubtless be found to be uninsured, compounding homeowners’ misery. A well-known coverage gap The flood insurance protection gap…
Read MoreAon + WTW to “extend proven model of catastrophe bonds” – CEO’s Case & Haley
The impending combination of insurance and reinsurance broking giants Aon and Willis Towers Watson (WTW) will aim to “extend the proven model of catastrophe bonds” as the resulting organisation will continue to look to help clients access the capital markets, CEO’s Greg Case and John Haley have said. The two CEO’s, Greg Case of Aon…
Read More