Insurance
Third-party capital raising hit $2.2bn for RenRe in just over one-year
While overall insurance-linked securities (ILS) and third-party reinsurance capital has shrunk slightly over the last year or so, reinsurer RenaissanceRe bucked the trend and raised around $2.2 billion from investors in just over one-year. Raising capital has not been the priority for many in the ILS market in recent times, as the impacts from the…
Read MoreUK Met Office calls for above average Atlantic hurricane season
The United Kingdom’s weather forecaster the Met Office, the national meteorological service for the UK, has joined calls for an above average level of hurricane activity to occur during the 2020 Atlantic tropical storm season with its long-range forecast for the season ahead. The UK Met Office has forecast 13 named tropical storms, 7 hurricanes…
Read MoreJune 1st Florida reinsurance renewals hit by “perfect storm” – TigerRisk’s O’Neill
The Florida reinsurance renewals have been hit by a “perfect storm” of market conditions, according to TigerRisk Partners exec Brian O’Neill, who who says support from core reinsurance partners will be critical to help carriers weather the storm. As we explained yesterday, Florida reinsurance renewal pricing is reportedly up on average 20% or higher on…
Read MorePeak Re in $12.32m mid-year Lion Rock Re sidecar issuance
Peak Reinsurance Company Limited (Peak Re), the Hong Kong headquartered, Fosun backed global reinsurer, has sponsored another collateralised reinsurance sidecar transaction, featuring a single $12.32 million tranche of notes that were issued by the reinsurers Lion Rock Re Ltd. special purpose vehicle. It’s the third issuance from the Lion Rock Re fully collateralised reinsurance sidecar…
Read MoreIrrational pricing drove Florida Citizens to pull cat bond layer: CFO Montero
Florida’s Citizens Property Insurance Corporation withdrew one layer of its latest issuance from the catastrophe bond market at the mid-year renewal, as it found that capital market investors are looking for “irrational returns” and wasn’t willing to lock in pricing over a multi-year basis at those rates, CFO Jennifer Montero explained to us. As we…
Read MoreCovid-19 pandemic “showcased” value of cat bonds to investors: S&P
Catastrophe bonds are expected to face increasing investor demand over the coming months, as during the Covid-19 pandemic these instruments have “showcased” their benefits to global investors once again, according to S&P Global Ratings. Prime among the features of catastrophe bonds that have been showcased, is once again the relatively uncorrelated nature of cat bonds…
Read MorePalomar extends reinsurance tower to $1.4bn despite “hard” renewal
Palomar Insurance Holdings, the speciality California-based insurer that provides largely catastrophe exposed property covers, has renewed its reinsurance program to provide it with coverage up to $1.4 billion, despite market conditions it explains as “hard”. For the second year running, Palomar has added additional coverage to the top of its reinsurance tower, as it continues…
Read MoreAre Life Insurers Writing Less Business Because of COVID-19?
COVID-19 has changed many aspects of our lives, so it isn’t surprising to see life insurance markets affected. But some stories create false impressions that should be corrected. The story that some life insurers are writing fewer policies “because of COVID-19” has gained traction in both traditional and social media. While not wrong, like other…
Read MoreFlorida’s “significant” renewal rate increases won’t match post-Katrina: KBW
Florida reinsurance renewal rate increases are expected to be “significant” but are unlikely to match the increases seen in the post-Katrina market except in some extreme cases, according to analysts at KBW. The analysts have held meetings with Florida market participants in recent days and with the June 1st reinsurance renewal just around the corner,…
Read More