What is the impact of climate change on insurers
The climate crisis will have dramatic impacts on economies and business communities, but the insurance industry could change the narrative through an innovative attitude to coverage. By Arup Chatterjee Principal Financial Sector Specialist, Sustainable Development and Climate Change Department at Asian Development Bank As time wears on, it’s becoming clear that failure to address the […]
Cat bond investment yields to stay at record levels: Twelve Capital’s Steiger
After hurricane Ian, it’s likely spread widening already seen in the catastrophe bond market only gets wider, which means, alongside rising risk-free returns, cat bond investment yields are set to stay at record levels, Florian Steiger of Twelve Capital has said. In fact, with insurance-linked securities (ILS) market and wider reinsurance market capital set to […]
Cat bond investment yields to stay at record levels: Twelve Capital’s Steiger
After hurricane Ian, it’s likely spread widening already seen in the catastrophe bond market only gets wider, which means, alongside rising risk-free returns, cat bond investment yields are set to stay at record levels, Florian Steiger of Twelve Capital has said. In fact, with insurance-linked securities (ILS) market and wider reinsurance market capital set to […]
World Bank leadership put catastrophe bonds back in the spotlight
While the World Bank has been a key driving force in the catastrophe bond market for many years, of late its senior leadership has been relatively quiet about the use of cat bonds as a key disaster risk financing and risk transfer option for its sovereign client-base. So it’s pleasing to note that catastrophe bonds […]
When it comes to ESG, governance should be a given in ILS: Albertini
For the insurance-linked securities (ILS) market, the ‘G’, or governance, within ESG, should always have been a given, as the industry needs to have strong governance around its underwriting practices, Luca Albertini, CEO of Leadenhall Capital Partners explained to Artemis. ESG, or environmental, social and governance has become one of the hottest topics in the […]
Post-hurricane Ian ILS market seen as “entry opportunity” by VP Bank
Even with the losses from hurricane Ian hanging over the insurance-linked securities (ILS) market, Liechtenstein-based private bank VP Bank AG maintains an overweight view on the asset class and sees the rising premiums to come as an “entry opportunity” for investors. VP Bank undertakes asset management and investment consultant activities for private and institutional investors, […]
Cat bond & ILS prices imply “very hard market” after Ian: Lane Financial
Analysis of catastrophe bond and insurance-linked securities (ILS) market pricing in the wake of hurricane Ian implies a significant hard market is ahead, with issuance multiples perhaps needing to rise by 20% to 30%, according to Lane Financial LLC. Lane Financial LLC’s Morton N. Lane, President and Roger G. Beckwith, Vice President, analysed catastrophe bond […]
What a storm 10 years ago could look like 30 years from now
Recent studies indicate that climate change could cause a storm with an increase in wind loss of about 50% and an increase in storm surge loss of about 70% compared to what occurred during Hurricane Sandy. (This image of the New Jersey shore after Hurricane Sandy was captured by U.S. Air Force Master Sgt. Mark C. […]
Hurricane Ian – no matter the number, cedents will trap as if its $70bn: Millette
During a panel discussion at the ILS Bermuda Convergence 2022 event yesterday, Michael Millette told the audience that while the quantum of loss matters after hurricane Ian, with such a range of estimates, the risk is that cedents will all seek to trap capital as if the industry impact is going to be $70 billion […]
The 2023 opportunity looks more attractive for ILS: Convergence
On the final day of the 2022 Convergence event in Bermuda, experts from across the insurance-linked securities (ILS) sector explained that, despite the challenges of recent years, there are opportunities out there. To end this year’s Convergence, Jan-Hendrik Hein, Investor Relations & Business Development Lead at Hiscox ILS, moderated a panel featuring experts and executives […]