ILS

Normalized cat returns of 25%-30% do not seem to be persuading reinsurers to dial up risk.

Hurricane Ian’s total effect is still unknown, but lessons from Hurricane Irma give insight into potential outcomes.

US investments in the ILS and cat bond market are highly concentrated with five companies accounting for 70% of industry investments.

Reinsurers are more bullish about their prospects than they have been in years, but start-up and ILS fundraising is a desert.

Inside P&C’s morning summary of the key stories to get you up to speed fast.

The broker put ILS capital at $96bn by year end, $1bn lower than mid-2021 but ahead of its $94bn year-end 2020 estimate.

The call came after Markel reported Q1 results that included 21% growth and a 5 point reduction in the combined ratio.

Courts in Bermuda and the US approved the move, which had earlier been subject to investor litigation.

Sources fear that the issue will be buried after the coming legislative elections in November.

Negotiations were dragged out by decisions being referred for sign-off at senior levels.

Markel will provide approximately $150mn to facilitate the buyout of the retrocessional segregated accounts of the funds, as well as tail-risk cover to release $100mn of trapped collateral.

The business acts as a transformer, allowing traditional asset managers the chance to participate on collateralised (re)insurance transactions.