This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred. Having recently spent time meeting with the insurance-linked securities (ILS) market at the SIFMA annual conference in March and caught up with other market participants since, we come away with a feeling that the ILS market remains keenly focused on holding onto gains made in recent years, with no ambition to revert back to the market softness seen up to 2017. We met with specialist ILS investment managers, multi-asset class fund managers, large institutional end-investors, fixed ..read more

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred. For private equity investors, the use of alternative capital vehicles and insurance-linked securities (ILS) structures presents a mature way to take advantage of reinsurance market cycles in an efficient manner, analysts at BMO Capital Markets have highlighted. This is a trend we’ve closely watched over the years, where some equity investors are now aware that they can access the risk premium of the reinsurance market, without all of the operational risk and overhead, through stru ..read more

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred. US primary insurer Travelers recorded catastrophe losses, net of reinsurance, of $712 million in the first quarter of 2024, up 33% year-on-year as a result of continued severe wind and hail activity across parts of the US, the company announced today. Travelers has reported that Q1 2024 pre-tax catastrophe losses of $712 million rose by $177 million on the $535 million recorded in Q1 2023. In the first quarter of 2024, the catastrophe losses added 7.1 points to the combined ratio ..read more

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred. Global insurance and reinsurance industry losses from natural catastrophes in the first quarter of 2024 were 10% higher than the most recent 10-year average at $20 billion, amid a continuation of high severe convective storm (SCS) activity in the US, according to reinsurance broker Gallagher Re. The broker’s Q1 2024 natural catastrophe and climate report reveals that during the period, US SCS activity continued to lead the way as the costliest peril to start the year, on the back ..read more

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred. Analysts at Goldman Sachs have noted that 2024 is going to be a year where they will be focusing on the potential for inflows of alternative capital or new entrant formation to change the dynamic across reinsurance and specialty insurance markets. Commenting on the large European property and casualty insurance players, including those operating at Lloyd’s, the Goldman Sachs analyst team note that the main reason the January reinsurance renewals were the recoveries in traditional ..read more

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred. Parametrix, a specialist in cloud downtime insurance protection, has launched Parametrix Analytics, a new service allowing re/insurers to quantify, manage, and transfer cloud risks with “unprecedented” accuracy. According to the firm, the new service leverages the proprietary cloud monitoring platform and extensive data resources it has cultivated through its Lloyd’s coverholder business. “With Parametrix Analytics, (re)insurers gain unparalleled, granular visibility into their po ..read more

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred. When it comes to designing a reinsurance sidecar structure for a life insurer, ensuring alignment is strong across all parties involved is critical, while trade-offs between a sidecar strategy and simply trading with traditional reinsurers must also be assessed, according to RGA (Reinsurance Group of America). Late last year, Reinsurance Group of America (RGA) announced the launch of a third-party life reinsurance sidecar company named Ruby Reinsurance Company (Ruby Re), which was ..read more

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred. The arrival of the world’s first cloud outage catastrophe bond was viewed very positively, and provides investors with a new avenue into the cyber insurance-linked securities (ILS) space, according to Henning Ludolphs, Managing Director Retrocession and Capital Markets at Hannover Re. Earlier today, large reinsurer Hannover Re and Parametrix, a cloud monitoring, modelling, and insurance services company, unveiled Cumulus Re (Series 2024-1), a $13.75 million privately placed cat bo ..read more

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred. Catastrophe loss data aggregator PERILS AG has released its Industry Exposure Database (IED) for 2024, which highlights the continued impact of inflationary developments on exposures, with sums insured for European windstorm up 10.1% year-on-year at constant EUR exchange rates. This is similar, although slightly lower than the 11.7% increase reported in the PERILS IED 2023 for the European windstorm peril, as insured property values continue to show the impact of the inflationary ..read more

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred. White Mountains CEO Manning Rountree recently explained that the insurance-linked securities (ILS) funds managed by Elementum Advisors delivered 15-20% returns “across the complex” in 2023, a year when his company generated strong returns from its investments into insurance and reinsurance. White Mountains took a 30% stake in ILS manager Elementum Advisors and as we’d previously reported, the value of that stake had increased through 2023. By September 30th 2023, White Mountains r ..read more