http://autoinsurancereview.tk/wp-content/uploads/2016/07/Hurricane_1.jpg
Non-life catastrophe bond issuance hits $2.8 billion
Reinsurers and ILS investors may see significant cat losses this year
Staff on July 12, 2016
$1 billion of non-life catastrophe bond capacity was issued across six transactions in the second quarter of 2016, Willis Towers Watson reports. This brings the annual total to $2.8 billion U.S.
Half the six bond sponsors were new issuers: Security First, United Insurance and Credit Suisse. The other sponsors were USAA, Munich Re and Allianz Risk Transfer.
“Despite the strong Q1 2016 issuance, second-quarter take up has not been as fervent compared to previous years,” Bill Dubinsky, head of Insurance-Linked Securities (ILS) at Willis Capital Markets & Advisory, said in a release.
“With hurricane season now underway, combined with the expectation that 2016 will be a La Niña year, there is unshakeable sentiment among quite a few involved in this year’s June and July 1 U.S. property catastrophe renewals that reinsurers and ILS investors will both take significant cat losses.”
Read: Fort Mac fires the costliest disaster in Canadian history: IBC
Non-life catastrophe bond issuance hits $2.8 billion
No comments:
Post a Comment