Owens Corning enters into deal transferring $291 million in U.S. pension plan liabilities
US-based Owens Corning entered into an agreement to purchase a group annuity contract from an unamed insurance compnay to transfer nearly half of the firm's total U.S. pension plan liabilities ($291 million ). [Pensions & Investments]
The UK-based British Red Cross Pension Fund, London, and the Scottish Branch, British Red Cross Society Retirement Benefits Scheme completed a £30 million buyout with Aviva, covering a total of 360 participants. [Pensions & Investments]
Aon's White Rock issues JPY 6B Asagao VII private cat bond
Aon's White Rock Insurance (SAC) Ltd. issued JPY 6 billion ($40 million) Asagao VII single-tranche two-year catastrophe (CAT) bonds than cover Japanese earthquake risks on a parametric trigger basis. [Artemis]
NC Farm Bureau seeks $250m from first cat bond, Blue Ridge Re 2023-1
The North Carolina Farm Bureau is looking to issue $250 million Blue Ridge Re Ltd. (Series 2023-1) two-tranche three-year catastrophe (CAT) bonds covering named state of North Carolina storms on an indemnity trigger and per-occurrence basis. [Artemis]
NN Group seeks €75m reinsurance from second Orange Capital Re cat bond
Nationale-Nederlanden (NN) Group is looking issue €75 million or more Orange Capital Re DAC (Series 2023-1) single-tranche three-year catastrophe (CAT) bonds. They will cover windstorm and severe thunderstorm risks in Belgium and the Netherlands on an indemnity and per-occurrence basis. [Artemis]
Allied World targets $250m renewal of 2001 CAT Re catastrophe bond
Allied World Assurance Company is looking to issue $250 million 2001 CAT Re Ltd. (Series 2023-1) single-tranche three-year catastrophe (CAT) bond. They will cover certain losses from U.S named storms, U.S. and Canada earthquakes, and European windstorm risks on a per-occurrence basis with the notes able to be triggered by qualifying industry loss events that breach predefined index trigger points, as measured by PCS and PERILS. [Artemis]
Constructing buyout-ready portfolios for the endgame
Buyout-ready strategies are scheme and belief-specific. At a high level Legal & General analysis suggests that they should normally have high interest rate and inflation hedge ratios and a sizeable allocation to investment-grade public credit. However, there are other interesting nuances, such as the influence of uncorrelated risks and uncertainty in the buyout position that can mean an allocation to other growth assets makes sense. There is also often a need to complete around illiquid assets.
Crédit Agricole's Pacifica seeks debut €150m Taranis Re cat bond
Crédit Agricole is looking to issue €150 million or more Taranis Reinsurance DAC 2023 two-tranche four-year catastrophe (CAT) bonds, covering losses from windstorms and hail storm events affecting France, Monaco and Andorra. A €100 million Class A tranche will cover losses from windstorms and hailstorms across the covered area on a per-occurrence basis, whereas a €50 million Class B tranche will only cover windstorm losses and on an annual aggregate and second event basis. [Artemis]
Newell Brands transfers $160 million-$175 million in U.S. pension plan liabilities
U.S.-based Newell Brands purchased a group annuity contract from an undisclosed insurance company to transfer between $160 million to $175 million in U.S. pension plan liabilities. Newell Brands previously purchased a group annuity contract in October 2020 from Massachusetts Mutual Life transferring $155 million to $160 million in U.S. pension plan liabilities. [Pensions & Investments]
Selective targets first $200m High Point Re catastrophe bond
U.S.-based Selective Insurance is looking to issue at least $200 million High Point Re Ltd. (Series 2023-1) single-tranche three-year catastrophe (CAT) bonds. They will cover losses from named storms, earthquakes, severe thunderstorms, winter storms, wildfires, meteorite impacts and volcanic eruptions across the United States, except for the key cat exposed states of California, Florida, Louisiana and Texas. The coverage will be on an indemnity and per-occurrence basis. [Artemis]
USAA secures $400m reinsurance from new Residential Re 2023-2 cat bond
USAA issued $400 million Residential Reinsurance 2023 Limited (Series 2023-2) three-tranche CAT bonds, versus the original $300 million target. They will provide USAA with per-occurrence and indemnity based reinsurance protection against losses from the perils of U.S. tropical cyclones, earthquakes (plus fire following), severe thunderstorm, winter storm, wildfire, volcanic eruption, meteorite impact, other perils (all including auto & renter policy flood losses). There is a zero-coupon one-year tranche and two four-year tranches. [Artemis]
Covéa finalises Hexagon IV Re cat bond at upsized €145m
French mutual insurer Covéa issued million Hexagon IV Re Ltd. (Series 2023-1) two-tranche four-year CAT bonds versus the original €100 target. They will cover windstorms that hit France, Monaco and Andorra on a per-occurrence and an indemnity trigger basis. [Artemis]
AXA XL targets $250m Galileo Re cat bond, its first since 2019
AXA XL is looking to issue at least is $250 million Galileo Re Ltd. (Series 2023-1) issuance two-tranche two- and four-year catastrophe bonds. They will cover losses from U.S., DC, Puerto Rico, and Virgin Islands named storm, as well as U.S. and Canada earthquakes, all on a per-occurrence and weighted industry loss index trigger basis. [Artemis]
Air France (UK) Pension Scheme completed a buy-in with Just Group. The transaction will cover approximately £32 million in liabilities for 200 participants in retired, active and deferred status. It is the scheme's third buy-in and the second with Just Group, following a 2014 retiree-only buy- in. [Pensions & Investments]
German insurer VKB targets €150m King Max Re multi-peril cat bond
Germany-based Versicherungskammer Bayern Versicherungsanstalt des oeffentlichen Rechts’ (VKB) is looking to issue €150 million King Max Re DAC 2023 single-tranche three-year catastrophe bonds. The bonds will cover losses from earthquakes, hailstorms, s and windstorms in Germany, on an indemnity and per-occurrence basis.
$91.2m of new private cat bonds issued by Eclipse Re
Bermuda-based Eclipse Re issued six single-tranche seven-month catastrophe bonds totalling about $91.2 million. No further details are available as to loss coverage and triggers. [Artemis]
CEA returns to add $400m of quake cover with Ursa Re 2023-3 cat bond
The California Earthquake Authority (CEA) is looking to issue $400 million or more Ursa Re Ltd. (Series 2023-3) two-tranche three-year catastrophe bonds. They will cover losses from California earthquakes on an indemnity and annual aggregate basis.
Allied World secures upsized $275m 2001 CAT Re bond with 14% price drop
Allied World Assurance issued $275 million 2001 CAT Re Ltd. (Series 2023-1) single-tranche three-year catastrophe (CAT) bonds, versus the original $250 million target. They will cover certain losses from U.S named storms, U.S. and Canada earthquakes, and European windstorm risks on a per-occurrence basis with the notes able to be triggered by qualifying industry loss events that breach predefined index trigger points, as measured by PCS and PERILS. [Artemis]
NC Farm Bureau gets Blue Ridge Re cat bond at raised $400m target
The North Carolina Farm Bureau issued $400 million Blue Ridge Re Ltd. (Series 2023-1) two-tranche three-year catastrophe (CAT) bonds, versus the original $250 million target. They will cover losses related to named state of North Carolina storms on an indemnity trigger and per-occurrence basis. [Artemis]
‘Aging is a disease’: Inside the drive to postpone death indefinitely
"In recent years, longevity has become many things. It’s a vast, accelerated area of research for scientists and tech moguls, the holy grail of biohacking and potential El Dorado of biotech wealth. An area of infotainment: a pole vault onto the bestseller list, a buzzword of podcasts hosted by Sinclair, Peter Attia and Andrew Huberman (whose science-based program often deals with the subject) — scientists and doctors with exquisite academic pedigrees who sometimes interview one another. A lodestar for diets, do-this-don’t-do-that newsletters and lifestyle coaches. A branding opportunity for emollients, olive oil, trademarked wellness programs and more supplements. In the longevity world, time is a fungible concept. Aging is something to be battled and slain. A burgeoning apothecary of serums and humectants is marketed as “anti-aging,” whatever that is. Longevity coaches promote programs capable of “reversing aging.”"
Allianz returns to cat bond market for €250m European storm protection
Allianz is looking to issue €250 million or more Blue Sky Re DAC (2023-1) single-tranche three-year catastrophe (CAT) bonds. They eill cover European windstorm losses on a weighted industry loss trigger and per-occurrence basis. The largest contributors to the windstorm expected loss of this new Allianz cat bond are said to be the countries of Germany, the UK and France. [Artemis]
AmFam seeks fourth Four Lakes Re catastrophe bond, a $150m multi-peril cover
American Family Mutual Insurance (AmFam) is looking to issue $150 million or more Four Lakes Re Ltd. (Series 2023-1) two-tranche three-year catastrophe (CAT) bonds. They will cover losses from US named storms, earthquakes, severe thunderstorms, winter storms and wildfires, on a per-occurrence and indemnity trigger basis. [Artemis]
MMC UK pension gets £2bn longevity swap backed by Munich Re
The MMC UK Pension Fund has entered into a £2 billion longevity swap and reinsurance arrangement with Munich Re, covering roughly 14,500 pensioners, deferred and active defined benefit members of the pension fund. The longevity risk was insured through a captive Guernsey insurance cell and simultaneously reinsured with Germany’s Munich Re. This transaction comes after the fund’s £3.4 billion longevity swaps previously transacted in 2017 with two other reinsurers. [Artemis]
Deutsche Bank completes buy-in for U.K. plan with Legal & General
Deutsche Bank's DB (U.K.) Pension Scheme, London, has purchased a £500 million group annuity contract from Legal & General Assurance Society to insure the benefits of about 2,000 retirees and deferred participants. Earlier in 2023, the pension fund insured £400 million in liabilities through a buy-in with Aviva, and £570 million in liabilities through a buy-in with Legal & General Assurance Society in 2021. [Pensions & Investments]
Safepoint secures $195m of reinsurance with Nature Coast Re cat bond
U.S. primary insurer Safepoint issued $195 million of Nature Coast Re Ltd. (Series 2023-1) two-tranche three-year CAT bonds, versus the original $150 million target. They will cover certain losses from named storm losses in the states of Florida and Louisiana on a per-occurrence and indemnity trigger basis. [Artemis]
NN Group gets €75m Orange Capital Re cat bond priced at top of guidance
Nationale-Nederlanden (NN) Group issued €75 million Orange Capital Re DAC (Series 2023-1) single-tranche three-year catastrophe (CAT) bonds. They will cover windstorm and severe thunderstorm risks in Belgium and the Netherlands on an indemnity and per-occurrence basis. [Artemis]
Beazley seeks first nat cat bond, Fuchsia 2023-1, via Lloyd's London Bridge 2 PCC
UK-based Beazley is looking to issue at least $100 million Fuchsia 2023-1 Rule 144A single-tranche three-year catastrophe bonds using the Lloyd’s owned London Bridge 2 PCC Limited insurance-linked securities (ILS) platform. They will cover losses from named storm and earthquake events affecting the United States, Canada and certain parts of the Caribbean on an indemnity and per-occurrence basis.
Liberty Mutual seeks $250m Mystic Re IV 2024-1 industry loss cat bond
Liberty Mutual is looking to issue at least $250 million Mystic Re IV Ltd. (Series 2024-1) single-tranche three-year catastrophe bonds. They will cover losses from named storms and earthquakes affecting the United States, Puerto Rico and Virgin Islands, and earthquakes only in Canada, on a per-occurrence and weighted industry loss trigger basis. [Artemis]
The value of insurance in a changing risk landscape
The Geneva Association published a survey-based analysis of emerging risks and analyses their future scope of insurability. It identifies major obstacles to insurability of climate and cyber risks, such as a lack of randomness and independence as well as highly problematic loss potentials. For intangible risks such as loss of reputation, key insurability challenges include information asymmetries and loss measurement. By making it more difficult for insurers to pool and redistribute risk, these shifts present challenges to insurability. [Geneva Association]
Co-op Pension Scheme secures £4bn buy-in with Rothesay
The UK-based Co-operative Pension Scheme insured the remaining £4 billion of liabilities for its Co-op Section through a buy-in with Rothesay. The deal covers almost 50,000 participants and is the final step to fully derisking the pension fund. The deal required no contributions from the sponsoring employer since the plan is in surplus. The Co-operative Group had already completed buy-ins for the overall plan, most recently insuring £1.2 billion in liabilities for its Co-operative Bank Section through a buy-in with Rothesay in December 2022. [Pensions Age]
