ORIGINAL PUBLICATION HERE Discussion Paper for the High-Level Consultative Group (HLCG) This discussion paper is prepared by the Secretariat of the InsuResilience Global Partnership (“Partnership”) based upon a synthesis of evidence commissioned by members and initial consultations with members. Concessional Support for climate and disaster risk finance and insurance (“CDRFI”) is a complex, sensitive and […]

ORIGINAL PUBLICATION HERE With the growing use of data analytics in the digital age, the use of insurance products such as parametric insurance, is starting to grow around the world. And with the effects of climate change now a reality such policy options are becoming more attractive to people internationally in a wide range of sectors, from construction […]

ORIGINAL PUBLICATION HERE Cessions of premiums to capital markets investors and specialist insurance-linked securities (ILS) funds rose among the Aon Reinsurance Aggregate group of companies tracked by the broker. Greater use of capital markets backed collateralised reinsurance has helped the 23 major reinsurers tracked by Aon to offset the impact of the record level of […]

ORIGINAL PUBLICATION HERE Alternative reinsurance capital’s continued growth through 2018, as well as the slight shrinking of traditional reinsurer capital have been confirmed in a report out today, while at the same time profits at reinsurers are seen to have shrunk again, based on underlying returns on equity (ROE’s). Total dedicated global reinsurance sector capital […]

ORIGINAL PUBLICATION HERE Alternative sources of reinsurance capital, deployed into catastrophe bonds as well as through ILS funds and other collateralized vehicles, grew by a slower 9% to $97 billion in 2018, but is expected to “regain momentum” in the coming months, according to Aon. Alternative reinsurance capital had been rising by more than 10% […]

ORIGINAL PUBLICATION HERE Alternative risk transfer and ILS mechanisms in the global property and casualty (P&C) market are expected to become more commonplace in the months and year ahead, according to law firm Sidley Austin’s Global Insurance Review. In addition the law firm believes that we haven’t seen the end of M&A activity in the […]

ORIGINAL PUBLICATION HERE Alternative sources of capital now contributes at least 4% of the global non-life insurance and reinsurance market’s roughly U.S. $2 trillion capital base, according to Swiss Re. The reinsurance firm puts the overall non-life global insurance capital base at $2 trillion, 80% (or $1.6 trillion) of which comes from primary insurers, 16% […]

ORIGINAL PUBLICATION HERE AP3, the Swedish state sector pension fund, has been investing in catastrophe bonds, insurance-linked securities (ILS) and reinsurance linked assets since 2008 and the investor increased its allocation to the ILS sector in 2018, while the asset class delivered a positive return despite the catastrophes. In 2018, the size of AP3’s allocations […]

ORIGINAL PUBLICATION HERE Indicative pricing for certain types of industry-loss warranty (ILW) backed retrocessional reinsurance protection has been on the rise, with Florida wind and as a result U.S. all natural perils seeing the largest increases of in advance of the mid-year renewals. In 2019 there has been a scarcity of capacity for certain retrocessional […]

ORIGINAL PUBLICATION HERE Investments with insurance-linked securities (ILS) managers Credit Suisse Insurance-Linked Strategies, Elementum Advisors and Fermat Capital Management all delivered positive returns in 2018, despite catastrophe events. AP2 is one of the largest pension funds in northern Europe, with around US $36 billion of assets under management and is tasked with maximising the long-term […]