Reinsurance

The manager’s ILS allocation now spans six of its seven investment funds.

The ILS industry alumnus is understood to have two ILS investors lined up.

Hurricane Milton will show the ILS product behaving as investors expect it to.

This is a far narrower drop than post Ian, when the index was lost 10%.

A client presentation from the broker put total insured losses at $25bn-$40bn, leaving the Citizens and the National Flood Insurance Programs clear of reinsurance impacts.

A $40bn Milton loss should barely dent many ILS returns but will trap some capital.

Collateralised reinsurance and retro are in the firing line.

The panelists discussed the ILS reset and the path to maintaining discipline in this sector.

The deal has reduced the carrier’s one-in-250-year cyber loss scenario from $651mn to $461mn.

The deal freed up capital held against deals written in 2019 and 2020.

The number of sponsors has risen from 46 about a year ago to 66 over the last 12 months.

Quick-moving cat risk trading may become more prevalent in the ILS market.