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Swiss Re ceded an additional $900mn of risk to the alternative reinsurance market in 2019.
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The main disrupted segments are still aggregate retro and sidecar vehicles, where negotiations over the level of trapped capital have held up the renewal process.
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The 2010s are about to end and over the past decade the ILS market has gone through an adolescent growth spurt – heading into 2020 as a far bigger and more complex entity than it was.
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Willis Towers Watson has tipped that greater focus will be drawn to ILS domiciles and structures in 2020 amid an “unusual amount of innovation” from existing and emerging jurisdictions.
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Brit has confirmed further details of the structure of its new Lloyd’s specialty fund, which will take a whole account slice of risk from its Syndicate 2988, using a corporate member investment structure.
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Most people describing the ILS manager world might break the peer group into three broad categories: reinsurer-affiliated platforms, independent owner-operated firms and asset manager-backed vehicles. Does the market need another category?
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Start-up activity in the market has slowed down.
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In its first public cat bond since 2013, the firm joins peers in seeking aggregate retro cover.
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The Axa XL cat bond was so oversubscribed that some investors had their allocations reduced by 60-70 percent, Trading Risk can report.
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The vehicle was set up as a Bermuda fund funnelling capital through a Lloyd's corporate member.
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We have written a bit about how certain (re)insurance business lines, such as retro, are struggling for capacity right now, but another noteworthy development is that some types of structures are also requiring major efforts to shore them up.
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