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Cat bonds were a key supply-side driver at 1 January 2025.
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The broker anticipates strengthening investor demand for collateralised re.
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Investment in the space comes mainly from the cat bond market, Gallagher Re said.
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Over-subscriptions have been evident on well-priced US cat treaties.
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Increased reinsurance capacity was more than sufficient to meet continued growth in global demand.
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The firm has commenced writing collateralised retro and reinsurance but its rated launch is still pending.
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The broker estimated ILS capital has reached $107bn.
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The UCITS cat bond segment has added 54% in AuM since Hurricane Ian.
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Homeowners’ insurance rates have spiked almost 60% since 2018.
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Casualty ILS made inroads, while hurricane hedging strategies came into focus.
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The firm will also act as sub-adviser to the Brookmont ETF cat bond fund.
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The executive will play a key role in capital arrangements for Acrisure’s suite of underwriting units.