Why educating the industry about ILS is so important
Insurance-linked securities (ILS) have become a vital part of the reinsurance industry, providing alternative capital for risk transfer, allowing investors to access insurance risks through financial markets, spread catastrophe risks and enhance market capacity. The key benefits of ILS are clear: greater diversification for investors, reduced reliance on traditional reinsurance and increased capacity to absorb […]
Hong Kong hopes to kick-start local ILS investment with tax exemption
Recognising that demand for asset and wealth management services are set to increase and that certain alternative asset classes are currently less attractive due to their taxation, the government of Hong Kong aims to boost its investment sector with a broadening of profit tax exemptions, with insurance-linked securities (ILS) one asset class in focus. Hong […]
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 […]
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 […]
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,” […]
Beazley adds $290m cyber ILW to its $510m cyber cat bonds, in $1bn cyber cat coverage
While it has been growing its cyber underwriting business, specialist insurer Beazley has also implemented a robust hedging strategy to control the tail, recently securing a $290 million cyber industry loss warranty (ILW) cover and securing its third PoleStar Re cyber catastrophe bond. As Artemis reported a few weeks ago, Beazley secured $210 million in cyber […]
China’s State Council sees cat bonds as measure to strengthen insurance system
China is aiming to strengthen its insurance system, with a particular focus on the impacts of weather and natural disasters and its State Council, a key ruling body, has cited catastrophe bonds again, as one measure that can assist. Over the years, China’s State Council has repeatedly cited innovative risk transfer, alternative reinsurance capital and […]
Private ILS interest rising, enhances scope of investment options: Grandi, Twelve Capital
Interest in private ILS opportunities, so collateralised reinsurance and retrocession arrangements, has been rising and continues to, Marcel Grandi of Twelve Capital believes. He also thinks these instruments afford an investment manager more scope, in terms of investment options beyond catastrophe bonds and tailoring portfolios. Marcel Grandi, Head of ILS Sourcing at Zurich-headquartered insurance-linked securities […]
ILS a versatile, adaptable midfield player offering strong, reliable returns: WTW
Insurance-linked securities (ILS) such as catastrophe bonds are seen as a versatile and adaptable diversifying strategy that can can provide investors strong, reliable return potential, particularly on a risk-adjusted basis, the Liquid Diversifiers team at WTW has said. Likening the construction of a well-rounded investment portfolio to that of selecting a winning football team, the […]
Central Europe floods could drive insured losses up to $3.3bn, says Gallagher Re
Insured losses from the recent severe floods that struck central Europe, which mainly occurred from September 12-15 are likely to range between EUR 2.0 – 3.0 billion (USD 2.2 – 3.3 billion), according to estimates from reinsurance broker Gallagher Re. A slow-moving low-pressure system caused continuous rainfall across central Europe, leading to severe and costly […]