Jamaica’s cat bond “doing what it was designed to do” – Lefferdink, Aon Securities
As the catastrophe bond market awaits an official determination on the potential payout of Jamaica’s $150 million IBRD CAR Jamaica 2024 parametric cat bond after hurricane Melissa, a representative of one of the deal’s structuring agents has said that early signs are that the cat bond structure is “doing what it was designed to do.” Chris Lefferdink, […]
Melissa insured impacts in the billions. Jamaica cat bond full loss most likely: Twelve Securis
The global insurance and reinsurance industry is facing losses in the billions of dollars after major hurricane Melissa’s devastating landfall and passage across Jamaica, while the country’s $150 million IBRD CAR Jamaica 2024 parametric catastrophe bond is likely to face a full loss, ILS investment manager Twelve Securis has said. In a post-event report, specialist catastrophe bond […]
Hurricane Melissa crosses Jamaica cat bond parametric boxes at 892mb, 100% payout likely
Major hurricane Melissa has intensified further to sustained winds of 185 mph and its minimum central pressure has now deepened to 892mb, which with the storm’s eye now well into the parametric boxes of Jamaica’s $150 million IBRD CAR Jamaica 2024 catastrophe bond suggests a 100% payout of principal is likely. Melissa is now close enough to […]
Hurricane Melissa nears Jamaica. Cat bond, parametrics can provide valuable recovery finance
As major hurricane Melissa bears down on the Caribbean island nation of Jamaica, the significant intensity of the storm could activate the country’s parametric catastrophe bond and insurance protection triggers which, should they pay out, will provide a valuable source of financial liquidity and recovery funding at a particularly challenging time for the country. Hurricane […]
Cat bonds may be India’s ‘next shield,’ says Prateek Singhal, Howden India
Prateek Singhal, Executive President & Head – Reinsurance at Howden India, believes that catastrophe bonds may be India’s “next shield”, emphasising the country’s need for instruments like cat bonds to protect its growing economy from climate risk. Readers may recall that there have been recent calls for India to develop its own regulatory framework for insurance-linked […]
Banks could turn to cat bonds to hedge their climate risks: ADBI
A new paper authored by Sayuri Shirai, ADBI Fellow at the Asian Development Bank Institute (ADBI), explores how banks can utilise catastrophe bonds and puts forward an interesting suggestion, that as sponsors or co-sponsors, banks could bundle the climate exposure from their other assets into cat bonds to hedge against growing climate risks. The report […]
Global pension funds eye ILS for higher potential yields
Global pension funds are increasingly eyeing the insurance-linked securities market looking for higher yields and portfolio diversification, sparking talk of a new wave of institutional capital that could reshape the sector. However, industry experts said that educating these investors on ILS would also be key to making the influx work. FULL ORIGINAL PUBLICATION HERE
ARC makes $5.4m parametric payout to support Mozambique’s climate disaster response
The African Risk Capacity (ARC) Group, a provider of parametric disaster insurance products to countries and other entities in Africa, has made a combined parametric insurance payout of just over $5.4 million to support Mozambique’s response to the 2024/25 drought and to Tropical Cyclone Chido. According to the announcement, the Government of Mozambique received just […]
Cat bonds & ILS funds projected to see biggest increases in demand: Moody’s
As per a survey by Moody’s Ratings, over the next year, reinsurance buyers have indicated a strong preference for catastrophe bonds when it comes to utilising alternative capital, while insurance-linked securities (ILS) funds are expected to see increased demand too. Each year in advance of the annual Monte Carlo Rendez-Vous event, Moody’s Ratings surveys reinsurance […]
ILS increasingly institutional. But investor education still critically important: Convergence 2025
During a panel discussion at the ILS Bermuda Convergence 2025 conference yesterday, speakers were asked to discuss what they’ve seen in the way of improvements in the insurance-linked securities (ILS) asset class over the last five years, with the institutionalisation of ILS and continuing efforts in educating investors both seen as key. The panellists were […]