Trading Risk June 2018

Hurricane Irma led to a sharp increase in lawsuits against Florida insurers in Q1 2018 compared with the same period last year, according to the Sun Sentinel.

The reinsurer has raised $530.5mn of Sector Re debt since December 2017, ahead of the $492.0mn raised last year and the $394.7mn of limit available in 2016.

Willis Towers Watson has invested in a platform designed to support new managing general agencies (MGAs), sister publication The Insurance Insider reported.

Private lapse deals are on the rise in the ILS market, driven by Solvency II regulations which require life insurers to hold onto more capital for lapse risk, according to life ILS managers.

The average gain across a group of sidecars that remained on risk in the three months to 31 January came to 3.2 percent.

Axa has said that XL’s reinsurance platform and access to alternative capital were among the attractions in tying up with the carrier.

ILS investors lost 7 percent on average between 30 June last year and the end of April 2018, the Eurekahedge ILS Advisers index shows.

Hurricane season is now open, but I’d argue that the persistent headwinds facing the reinsurance industry are far more challenging than anything the Atlantic may send its way this summer.

Recent developments in the sector have underscored the difficulties reinsurers are grappling with as they attempt to work ILS capital into their business model.

June people moves in the ILS market

The Bermuda-listed vehicle was established with $45mn raised from investors, with the remaining $5mn coming from the insurer itself.

Is the industry ready to accept new attempts to create live trading platforms?