ILS Related


Cherry picked selection of news on ILS, DRF, Reinsurance and other matters related to our activities. Updated on a weekly basis.

Weather disasters drive US $ 3.64 trillion in losses in 50 years: WMO data

The high costs of weather disasters around the globe is truly laid bare by the latest data from the World Meteorological Organization (WMO), which estimates that weather, climate and water related disasters drove some US$ 3.64 trillion in losses over the last 50 years. The WMO’s latest Atlas of Mortality and Economic Losses from Weather, Climate and Water Extremes covers the period from 1970 to 2019, during which over 2 million lives were lost to

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ILS fund returns dented by European floods in July: ILS Advisers

The average return of the insurance-linked securities (ILS) fund market was dented by the European flooding in July 2021, with some funds focused on private ILS and collateralized reinsurance contracts suffering losses from the event. For the month of July 2021, the average ILS fund return was 0.20%, according to the Eurekahedge ILS Advisers Index. That was less than half the long-term average ILS fund for the month of July, which stands at 0.59%. In

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Hurricane Ida insured wind & storm surge losses seen at up to $25bn by AIR

AIR Worldwide has estimated that insurance and reinsurance industry losses to onshore property resulting from the wind and storm surge impacts of Hurricane Ida will be between $17 billion and $25 billion. This estimate from AIR compares to CoreLogic’s industry loss range of $14 billion to $21 billion, and Karen Clark & Company’s re/insured loss estimate of close to $18 billion. The catastrophe risk modeller’s insured loss estimate includes physical damage to property (residential, commercial, industrial

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NFIP cat bonds & reinsurance in focus as Ida’s remnants flood New York

The remnants of hurricane Ida have continued to drop torrential rain along its path north east and its slow pace and heavy downpours have now flooded parts of New York, all of which is heightening the risk posed to FEMA’s catastrophe bonds and reinsurance tower for the National Flood Insurance Program. As we explained yesterday in our analysis of catastrophe bonds that have seen secondary market price declines in the wake of hurricane Ida’s landfall

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Insurance industry experts discuss Hong Kong’s role in supporting the country’s “dual cycle” strategy through captive insurance and reinsurance

The Insurance Regulatory Authority (Insurance Regulatory Authority) today (September 1, 2021) held a panel discussion at the “Belt and Road” Summit Forum 1 to discuss how Hong Kong can leverage on the advantages of its exclusive self-insurance base and reinsurance hub, and consolidate its position in the “October” Under the “Fourth Five-Year Plan”, it has a strategic position as a risk management center for mainland enterprises to “go global”. Speakers of the forum came from mainland insurance companies, insurance

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Catastrophe bonds marked down on hurricane Ida threat

A number of catastrophe bonds have been marked down in end of month secondary market pricing sheets, with some of the anticipated names suffering declines of between 25% and 35% in value. After hurricane Ida’s devastating landfall with 150 mph winds in Louisiana on Sunday it was always anticipated that there would be a mark-to-market reaction in catastrophe bonds. The majority of insurance-linked securities (ILS) fund managers seem relatively comfortable that cat bond losses will

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Retailers need a wholesaler that understands capital markets (ILS): Amwins Sloop

Retail insurance market players need to work with wholesalers that understand insurance-linked securities (ILS), Amwins COO Ben Sloop has explained, suggesting that the access this can give them to efficient sources of reinsurance capital is vital. Amwins recently formally launched a new insurance-linked securities (ILS) partnership with Bermuda based ILS fund manager Integral Integral ILS Ltd. Working alongside specialty insurance player Core Specialty, which will be the policy issuer, certain Amwins MGA risks are set

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Cat bond & ILW activity help drive PERILS-based transaction limit higher

An increase in use of PERILS industry loss triggers in industry-loss warranty (ILW) transactions focused on European windstorm risk, plus the buoyant catastrophe bond market, have helped to drive PERILS-based limits at risk up 11% to US $3.2 billion, as of the end of August. PERILS AG, the Zurich-headquartered provide of catastrophe industry loss data and indices for use in reinsurance and insurance-linked securities (ILS) risk transfer transactions, has provided an update on the use

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Indonesia launches US $500m risk pooling facility. Risk transfer a goal

The government of Indonesia has launched a new disaster risk pooling facility that will initially have more than US $500 million of capacity available to help pay for the economic costs of natural catastrophes and severe weather events, but with a future goal of transferring some or all of the risk to private insurance or capital market sources. Indonesia’s move to create a disaster risk pool comes after a number of year’s of work with

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