December 2010/1

The California Earthquake Authority (CEA) has approved a two-stage reinsurance programme for 2011 where it will split its purchasing around the hurricane season and shelve the idea of issuing a direct cat bond.

December has opened with a bang for the ILS market, with no fewer than eight offers set to close this month and total issuance for the year on course to surpass $5bn for the first time since 2007.

Swiss Re may be seeking just $50mn for its new Kortis longevity bond, but the significance of this milestone carries much more weight than the modest sum suggests.