Hannover Re’s E+S Rück forecasts nat cat reinsurance demand, improved prices and terms
Commenting on its expectations for the end of year reinsurance renewals in Germany, Hannover Re’s German subsidiary E+S Rückversicherung AG has said that it expects demand for property catastrophe reinsurance to rise further, while risk adjusted price and term improvements are also expected. The expectations comes after continued losses from severe weather and natural catastrophe […]
Cat bond market index bounces back, now only -0.30% since hurricane Milton
At Friday’s pricing, the catastrophe bond market index calculated by Swiss Re Capital Markets bounced back by more than one percent, leaving the benchmark for the entire cat bond market now only -0.30% down since hurricane Milton, while the US wind specific version of the cat bond index also recovered and is now -1.31% since […]
UCITS cat bond fund index only fell 0.42% on hurricane Milton
It’s now clear that catastrophe bond funds fell far less than the market benchmark on the first pricing after hurricane Milton, with the Plenum CAT Bond UCITS Fund Indices only falling 0.42% at Friday October 11th and the majority of cat bond funds absorbing the initial mark-to-market impacts of the storm within two weeks of returns. […]
Alternative capital a material and critical reinsurance partner through crises: Rapin, Nephila
In comments made around Guy Carpenter’s Baden-Baden Reinsurance Symposium event, Maria Rapin, the CEO of Nephila Climate, the climate and weather focused arm of insurance-linked securities (ILS) specialist Nephila Capital, highlighted that alternative capital is a long-term partner for reinsurance that has been well-tested through catastrophes and crises. This year’s theme of the reinsurance broker’s […]
Mutual cat bond and ILS funds correct in post-Milton NAV adjustments
Having shown a divergence in manager strategies as NAVs moved in different directions at times and by different amounts as hurricane Milton approached, the US mutual investment funds that allocate to catastrophe bonds and other insurance-linked securities (ILS) diverged again at pricing on Friday, but have since stabilised having incorporated post-landfall net asset value adjustments. […]
Parametric insurance can help close US $1.8tn protection gap: Generali and UNDP
A joint report published by insurance giant Generali and the United Nations Development Programme (UNDP) highlights parametric risk transfer and insurance as a key solution that can help to close the US $1.8 trillion protection gap. “Parametric insurance is speeding up recovery from climate-related hazards and other shock events, especially for communities in vulnerable contexts,” […]
Cat bond market index falls 1.34% on hurricane Milton. US wind down 3.64%
Responding to the potential impact of losses from hurricane Milton, the catastrophe bond market has fallen by just 1.34% at the end of week pricing of the index calculated by Swiss Re Capital Markets, while the US wind specific version of the cat bond index fell by only 3.64%. It’s a stark contrast to how […]
The Price of Natural Catastrophes in Africa: Insights into the most recent Catastrophe Losses
From January to June, the global average temperature was roughly 1.5°C higher than the pre-industrial level. Not only were average temperatures unusually high nearly everywhere in the world in the first half-year; record-breaking highs were also reported around the globe. The recent losses caused by natural disasters in Africa underscore the need for the insurance […]
Cat bond market yield declines again on accelerated seasonality, lower collateral contribution
In the month of September 2024, the overall yield of the catastrophe bond market declined further as the effects of hurricane seasonality accelerated, while also adding to the decline is a gradual reduction in the cat bond market collateral yield, as lower interest rates begin to have an effect. As we’ve explained before, US hurricane risk […]
China Officially Joins the Middle Corridor
It was announced during the 8th International Silk Road Expo in Xi’an in September 2024 that China will formally join the Middle Corridor under the guise of participation by the China Railway Container Transport Corporation (CRTC). This move signals a growing reliance on Central Asia’s trade-route infrastructure potential. China’s shift to overland routes is part of […]