Trading Risk May 2017
The ILS sector is continuing to attract new investors with recent cat bond fund launches from two asset managers, Trading Risk understands.
Martin Reith's Neon is working on establishing an ILS fund that would see the revamped Lloyd's business bring in third party capital to support its nascent property catastrophe reinsurance book, Trading Risk can reveal.
Back in 2013-2014 when the cat bond market was last booming the way it is right now, the boisterous volumes of issuance prompted a bit of philosophising over whether ILS rates had "decoupled" from the traditional market.
As 1 June Florida renewal negotiations come to a head in the next fortnight, there are a number of dominant themes influencing discussions.
There has already been more cat bond reinsurance cover raised in the second quarter to date than in the full first quarter after an exceptionally busy April.
Hudson Structured Capital Management and Twelve Capital were the lead investors in a $45.5mn debt issuance from legacy carrier Catalina General Insurance.
A table of ILS fund returns for the first quarter of 2017 printed in last month's edition of Trading Risk displayed incorrect information for three Axa funds.
AP2's ILS pot shrinks; ILS funds post 0.23% March return; MGA Ventus partners with ILS firms
Chubb is the cedant on the $173mn Resilience Re 1741A private cat bond that was issued in April, according to sources.
Gaming company Lottoland has launched a business that takes on risk from its peers and cedes it on in turn to ILS investors.
The Texas Windstorm Insurance Association (Twia) has reduced its catastrophe reinsurance in advance of this year's hurricane season, according to sister publication The Insurance Insider
Severe weather in the US in April led to insured losses of more than $970mn, according to a report from Impact Forecasting
Prices on aggregate storm-exposed cat bonds are largely holding up after an active start to the storm season, as sources reported increased demand for multi-peril and earthquake diversifiers.
Collateralised reinsurers and ILS investors received $612mn in ceded premiums from the top 10 Florida insurers in 2016, a drop of 6 percent from $654mn the previous year, according to data collected by Trading Risk
US commercial P&C rates continued to decrease in Q1 although the pace of softening slowed, according to the Council of Insurance Agents and Brokers (CIAB)
Nephila's new facility with Marsh will help to kick-start growth of the fund manager's US insurance book, with the deal much more significant in size than its previous arrangement with Amwins
Markel Catco has closed the majority of its side pocket investments related to the 2015 Pemex oil rig fire and explosion after redeeming the side-pocketed shares.
The Gator Re cat bond has been extended by a further month, with the full $35mn of collateral held back after its initial maturity date now expected to be repaid to its sponsor American Strategic Insurance.
Florida Citizens has increased its traditional reinsurance limit by $370mn this year as it pared back its cat bond coverage, sister publication The Insurance Insider revealed.
Hannover Re Q1; UPC hit by costs; FedNat profits fall 67%; Securis SPA; London innovation; Munich Re results...