Best of Artemis, week ending December 31st 2023

Here are the ten most popular news articles, week ending December 31st 2023, covering catastrophe bonds, ILS, reinsurance capital and related risk transfer topics. To ensure you never miss a thing subscribe to the weekly Artemis email newsletter updates or get our email alerts for every article we publish.

Ten most read articles on Artemis.bm, week ending December 31st 2023:

Swiss Re successfully prices market’s first industry-loss cyber cat bond
Global reinsurance firm Swiss Re successfully priced the market’s first industry-loss triggered cyber catastrophe bond, securing the $50 million of coverage it had originally targeted from the Matterhorn Re Ltd. (Series 2023-1) transaction.
Very attractive ILS returns expected through coming years: SIGLO
The insurance-linked securities (ILS) marketplace is expected to remain an attractive place to deploy capital over the coming years, with “very attractive” returns expected to persist, according to SIGLO Capital Advisors AG.
Higher-layer retro & ILW’s seeing price pressure, competition
Sources of retrocessional reinsurance capital appear in greater supply at this January renewal season than a year ago, which has applied some pressure to rates-on-line at higher, more remote layers, while also shifting more of the balance of power back towards buyers in some cases, we understand.
European Central Bank calls for greater use of catastrophe bonds
The European Central Bank (ECB) alongside a macro-prudential oversight body it operates, the European Systemic Risk Board (ESRB), has called for greater use of catastrophe bonds to address the insurance protection gap and mitigate catastrophe risks from climate change in the European Union.
Catastrophe bond market exposure to aggregate covers shrinking fast
Over the second-half of 2023, the catastrophe bond market has continued in its shift away from providing aggregate cat bond coverage, with the percentage of the outstanding cat bond market that aggregate deals contribute falling below 42% for the first time in years.
Reinsurers not budging on retentions & terms at Jan 2024 renewals: JMP
At the January 2024 renewals, reinsurance markets are not budging on the higher retentions and tighter terms and conditions they have fought had to install over recent years, according to JMP Securities analysts.
ILS capital outpaced AM Best / Guy Carpenter forecast to hit $100bn in 2023
Earlier this year, rating agency AM Best and reinsurance broker Guy Carpenter had projected that third-party capital in reinsurance, so alternative capital or insurance-linked securities (ILS) market capacity, would end 2023 at $99 billion, but the market has actually outpaced this forecast.
Cat bond issuance could be even larger in 2024: Fermat’s Nelson Seo
There is a chance that the catastrophe bond market sees an even more significant year of new issuance in 2024, as factors are going to continue to support the demand for risk transfer, according to Nelson Seo, Co-Founder and Managing Director of Fermat Capital Management.
Capital “augmented” for RenRe’s two Fontana joint-venture reinsurers: AM Best
The two reinsurers established as underwriting vehicles for RenaissanceRe’s Fontana Holdings third-party capitalised casualty and specialty reinsurance focused joint venture have had their capital augmented, rating agency AM Best said also recognising the likelihood of Fontana’s reinsurers delivering profits and positive income in most periods.
Bermuda’s BMA revokes registration of Vesttoo Alpha P&C Fund
As the saga over Vesttoo moves rapidly towards the insurtech’s bankruptcy and liquidation, while the amounts available to claimants in the Chapter 11 case are minimal compared to the damage caused by the fraud that occurred, there are a range of administrative efforts still needed, one of which is the shuttering of investment fund structures.

This is not every article published on Artemis during the last week, just the most popular among our readers over the last seven days. There were 17 new articles published in the last week.

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