alternative capital News

Cat Bond Issuance Saw Robust Start to 2017: Aon Benfield

Catastrophe bond issuance made a robust start during the first quarter of 2017 with seven catastrophe bond transactions that totaled US$2.17 billion, according to a report from Aon Securities, the re/insurance investment banking division of Aon Benfield. These transactions are …

ILS Market Continues Growth Trend in Q1 2017: Willis Towers Watson

Non-life insurance-linked securities (ILS) capital grew again in Q1 2017, continuing the trend from 2016, according to the latest ILS Market Update from Willis Towers Watson Securities, the investment banking business of Willis Towers Watson. Following a strong Q4 2016, …

April 1 Renewals Saw ‘Disciplined Softening’ with Ample Capacity: Aon & Willis Re

With abundant capacity, aggressive capital market competition and acceptable returns for global reinsurers, it’s no wonder that the elusive bottom of soft market pricing was not evident at the April 1 renewals. During 2016, global reinsurers generated “an acceptable, though …

Cat Bond Issuance in 2017 Could Approach Record Levels: Aon Report

Total catastrophe bond issuance for calendar year 2016 reached US$5.8 billion – a decrease from US$6.9 billion in 2015 – principally due to ongoing competitive re/insurance market conditions, according to an Aon report. The first quarter of 2016 saw a …

Is Soft Market Bottoming? A.M. Best Points to Some Promising Signs

Some observers believe the bottom of the reinsurance market may be in sight because brokers are having greater difficulty filling out underpriced programs and further concessions in terms are difficult to obtain, according to a report published by A.M. Best. …

BRIT Renews, Expands Bermuda-Based SPV Versutus

London-based Brit Ltd. said it has renewed and expanded the collateralized reinsurance capacity provided by the Bermuda domiciled special purpose insurer, Versutus Ltd., in support of Brit’s property treaty portfolio for 2017. The special purpose insurer will be capitalised at …

Decline in Reinsurance Prices Slowed at January Renewal: Carpenter

Reinsurance pricing continued trending downward at the Jan. 1, 2017 renewal — across most classes of business and geographies, but the pace of that decline is slowing, according to Guy Carpenter & Co. Although several sectors experienced increased loss activity, …

Mitsui Buys 15% Stake in XL’s ILS Firm, New Ocean Capital

Mitsui & Co., Japan’s second-biggest trading house, agreed to purchase a 15 percent stake in New Ocean Capital, the asset manager that was founded by XL Group Ltd. and Stone Point Capital to make insurance-related bets. Mitsui also committed $100 …

Soft Prices May Bring Reinsurer Losses when Typical Cat Levels Return: Execs

It won’t take another Hurricane Katrina for reinsurers to face losses from covering the cost of storms and earthquakes. Competitors such as hedge funds have eroded prices so much that a typical year of claims could move the industry into …

Reinsurers May Reassess Cat Exposures When Normal Claims Levels Return: S&P

Most global reinsurers have been able to maintain underwriting discipline despite the ongoing soft market, but there is a danger that their profits could be hit if the current benign period of natural catastrophes returns to normal levels, according to …