Risk management, tech, maturing ILS partnerships subdue the reinsurance cycle: AM Best
The reinsurance market cycle has become more subdued thanks to sound risk management practices, strategic use of technology and a maturing partnership with alternative capital (ILS), according to rating agency AM Best. Commenting this morning on the fact reinsurance firms met their costs of capital for the second year in a row in 2024, AM […]
Strong alternative reinsurance capital market growth to persist into 2026: Fitch
The recent growth trend in the alternative reinsurance capital market is forecast to persist into 2026, as supply of capital from investors and demand from sponsors seeking risk transfer remain robust, Fitch Ratings has said. The rating agency also notes how alternative capital and insurance-linked securities (ILS) market growth has resumed in sidecars as well […]
Cat bond defaults stay low at 2.3% across rated and non-rated issues: S&P
As per S&P Global Ratings, despite several catastrophe bonds defaulting following record-high insured losses from the California wildfires in early 2025 and through recent catastrophe years, the default rate across both rated and non-rated catastrophe bonds remains very low at just 2.3%. The rating agency recently published a new report that provides insights from historical […]
All indications point to continued catastrophe bond market growth: AM Best
Record levels of catastrophe bond market issuance in 2025 are reshaping the pricing landscape, AM Best believes, but the rating agency sees no sign of a slow-down ahead, as “all indications point to continued growth.” Insurance-linked securities (ILS) market capacity is at an all-time high and projected to end 2025 by having grown to around US […]
Alt capital & ILS an ‘increasingly important’ component of property cat reinsurance: Berenberg
According to equity analysts from Berenberg, alternative capital and insurance-linked securities instruments have become an increasingly important component of property catastrophe reinsurance limit, notably in the United States as cedants see value in diversified sourced capital. As the annual Monte Carlo reinsurance Rendezvous event in September nears, it’s safe to assume that property catastrophe risk […]
Insurance-linked securities the “best asset class” from diversification perspective: VP Bank
Insurance-linked securities (ILS) is the “best asset class from a diversification perspective,” according to private bank and asset manager VP Bank AG, with the current level of compensation for taking on catastrophe risk still seen as more than adequate even as hurricane season begins. Liechtenstein-based private bank and asset manager VP Bank believes that while […]
Egypt eyes cat bonds for economic protection and insurance market growth
A study undertaken by The Insurance Federation of Egypt has highlighted how the use of catastrophe bonds can help protect the country’s economy and society from natural catastrophe events, while also opening new opportunities for its insurance market. We’ve reported in the past how Egypt has looked to implement an insurance-linked securities (ILS) framework across […]
Catastrophe bonds offer something rare among scalable income strategies: King Ridge
As per a recent report by King Ridge Capital Advisors, unlike many niche, non-credit strategies, catastrophe bonds offer diversification, differentiation and scale, which the firm suggests makes them the only non-credit income solution large enough to meet the future demands of institutional and individual investors. The specialist insurance-linked securities (ILS) investment manager states that with […]
India urged to develop its own insurance-linked securities (ILS) regulatory framework
An expert panel has recommended that India develops its own insurance-linked securities (ILS) regulatory regime through its International Financial Services Centres Authority (IFSCA), which would include exploring the issuance of instruments such as catastrophe bonds. The panel, the Working Group (WG), which consists of industry experts, particularly within Alternative Risk Transfer (ART) arrangements, has published […]
Brazil’s ILS structure opens a new chapter for its re/insurance market: Fitch
Following the completion of Brazil’s first-ever insurance-linked securities (ILS) issuance earlier this year, analysts at Fitch Ratings have highlighted how the country’s ILS framework marks the beginning of a new chapter for its re/insurance market. Back in May, Brazilian reinsurer IRB (Re), via its wholly owned subsidiary, Andrina Special Purpose Insurance Entity (SSPE) sponsored the country’s […]