June 2013/1

The handful of nationwide US cat renewals outside Florida that renew in the mid-year are thought to have priced down by 7-15 percent, according to sister publication The Insurance Insider.

Florida Citizens Property Insurance was a stand-out example of the alternative reinsurance market lifting its market share at the 1 June renewals, as hedge fund-backed reinsurer DE Shaw and Bermudian fund manager Nephila Capital put down significant lines of capacity on the state insurer's traditional reinsurance programme.

Reinsurance quoting activity stabilised in Florida at the 1 June renewal after much more volatile pricing conditions in 2012 and 2011.

Reinsurance buyers continued to look for greater aggregate or sideways cover at the mid-year renewals - a trend that works to the strengths of capital market reinsurers as they continue to lift their market share.

Axis Re CEO Jay Nichols has set up two new convergence market units within the space of a week, in a move long expected from the former RenaissanceRe Ventures executive.

Sidecar fees remain above the standard rate for ILS fund managers but are also coming under pressure in a softening property catastrophe market, Trading Risk understands.

Forecasters are predicting that the 2013 Atlantic hurricane season, which opened on 1 June, will see above-average activity.

PCS has left its file on Hurricane Sandy open after reconfirming its loss estimate at $18.75bn, going against its normal policy of closing off the survey process once it has produced two consecutive stable loss estimates for a disaster.

Steven Cohen's hedge fund SAC Capital could face investor withdrawals of up to $3.5bn, or more than half the $6.75bn third-party capital it manages, according to reports.

Axis founder John Charman says he wants to bring third-party capital "inside the business structure" at Bermudian (re)insurer Endurance after taking up the CEO role this month.

Don Kramer has changed tack with his start-up fund manager ILS Capital Management and will now target the niche marine sector after hiring former Ariel Re underwriter Brian Gulbransen as chief underwriter of specialty reinsurance.

Dexion Capital's closed-ended ILS fund DCG Iris has raised £9.3mn from its third share placement to reach a total size of £60.28mn.