Best of Artemis, week ending 27th September 2020

Here are the ten most popular news articles, week ending 27th September 2020, covering catastrophe bonds, ILS, reinsurance capital and related risk transfer topics.To ensure you never miss a thing or get our email alerts for every article we publish..

David Brown, Chairman and interim CEO of Bermuda-based reinsurer Hamilton Re, has said that reinsurers should be looking for “better pricing and better terms” at the end of year renewals.The alignment inherent in the collateralised reinsurance sidecar vehicles that Swiss Re operates has helped the company to attract fresh ILS capital even during difficult times, the firms CEO Christian Mumenthaler told us.Peak Reinsurance Company Limited (Peak Re), the Hong Kong headquartered, Fosun backed global reinsurer, has announced the hiring of Andrew Souter, to the role of Director of Markets.

Broking giant Aon said that reinsurance companies included in its Aon’s Reinsurance Aggregate won’t cover their cost of capital in 2020, after loss ratios rose on the COVID-19 pandemic.Reinsurance Group of America (RGA) has explored a variety of ways of transferring mortality risks related to pandemics off its books, including capital markets backed instruments such as catastrophe bonds.PartnerRe, the Bermuda headquartered and EXOR owned reinsurance company, has announced the appointment of Nicholas Hughes as Head of Retrocession, alongside the additions of Aaron Coates from Twelve Capital and Guy Hengesbaugh, formerly of Guy Carpenter Bermuda.

When it comes to building a portfolio of insurance-linked securities (ILS) and reinsurance linked investments, there is more to quality and return potential than simply following models, according to Chin Liu of Amundi Pioneer.Darren Redhead, chief executive of Lancashire Capital Management, acknowledges that four years in a row of trapped collateral, on the back of major natural catastrophes in 2017, 2018 and 2019 and, latterly, the uncertainty stemming from COVID-related claims, does pose a challenge.The cyclical nature of the Florida property insurance market is just one of the challenges facing those operating there, with issues around claims litigation, assignment of benefits (AOB) and its exposure to hurricanes and severe weather all making for a marketplace that is difficult to navigate.

The long-awaited, significant hardening of the reinsurance market, underpinned by price increases and improving terms and conditions (T&Cs), is vital following the disappointing response to catastrophe events over the past few years, according to experts from across the re/insurance and insurance-linked securities (ILS) space.This is not every article published on Artemis during the last week, just the most popular, some of which were published over a week ago..

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Publisher: Artemis