Business interruption

Listed retrocession provider Catco says its 2012 returns could be reduced by up to 10-15 percent net if insured industry losses from Hurricane Sandy reach the upper end of modellers' estimates of $15bn, according to a statement from the firm.

Leading ILS fund manager Credit Suisse believes that insured losses from Hurricane Sandy could reach $14bn-$18bn, according to a statement from the London-listed DCG Iris fund

Credit Suisse Asset Management no longer expects Hurricane Isaac to have any impact to the portfolio of the listed DCG Iris fund.

Credit Suisse Asset Management expects to take a 0.2 percent hit to the net asset value (NAV) of its Low Volatility Plus Iris fund as a result of Hurricane Isaac, according to a disclosure from the listed DCG Iris fund.

Energy risk specialist CatVest Petroleum Services has officially launched its EnergyRisk Model to model catastrophic losses from offshore and onshore oil and gas facilities as it targets the industry loss warranty (ILW) risk transfer business.

Private cat bond deals are likely to continue, but they do not always save costs for their issuers, broker Willis Capital Markets and Advisory said in a recent report on the ILS market

The rest of 2011 and early 2012 should be a busy period for the cat bond market as pent-up demand from earlier this year is released, broker Willis Capital Markets & Advisory predicted today in its third quarter report.

New Zealand earthquake losses may have prompted some traditional reinsurers to question the value of lower-paying international risk this year, but the ILS market still seems intent on adding more breadth.

Catastrophe modelling firm AIR Worldwide (AIR) released updates to its European wind and earthquake cat risk models this week, with both models having been expanded to include additional countries.

Speaking at a Munich Re ILS panel in Monte Carlo today, Fermat Capital founder John Seo predicted that issuance prices for US hurricane catastrophe bonds could rise 15-25 percent on a steady bond structure under the new hurricane model from RMS.

Collateralised reinsurance supply could be hamstrung if further loss events tie up capital this year, Aon Benfield Securities said in its first-quarter report on the ILS market.

Risk Management Solutions (RMS) has issued a preliminary value for users of its Paradex index, setting the initial index number for the 11 March Tohoku earthquake at 3.1tn yen.