catastrophe bonds News

Opinion: Cat Bonds Soar Despite Record Disasters

Leave it to catastrophe bonds to be among the most well-functioning debt markets out there. Issuance of “cat bonds” has climbed to more than $11 billion this year, about the same as this time in 2017, when sales hit a …

Bond Bailout Could Plug Flood Financing Hole

The images from Houston, Texas, in the aftermath of Hurricane Harvey are horrific and heartbreaking, with homes fully submerged and residents being rescued by boats and helicopters. And that’s just the physical toll. Many residents of the fourth-largest U.S. city …

Commentary: Blockchains Eye Catastrophe Business

Financial markets are showing some signs of volatility these days after exceptionally low indicators since the start of the 2017. The Chicago Board Options Exchange Volatility Index, or VIX, is at its highest level this year. The VVIX Index, which …

TWIA Says its Financially Sound for 2017 Hurricane Season

The Texas Windstorm Insurance Association (TWIA) remains financially sound and ready for the 2017 hurricane season by once again securing $4.9 billion in total funding. With $4.9B in total funding secured, #TWIA is financially sound and ready for the 2017 …

Swiss Re Warns That Catastrophe Bonds Risk Subprime Slice-Up

Swiss Re AG, Europe’s second-biggest reinsurer, said regulators should prevent catastrophe bonds from being repackaged like subprime mortgages. “It’s important for traditional players like us and regulators that we make sure we don’t get into a situation where you start …

Florida Insurance Industry Ready for Hurricane Season

Eight hurricane-free years in Florida and a seller’s market in catastrophe bonds have fortified the state against the cost of major storm damage as the 2014 Atlantic hurricane season starts June 1. “Florida is in its best position in a …

Goldman Sees Worst Floods Sowing Cat-Bond Demand

Canada’s banking regulator is urging insurers to sell catastrophe bonds for the first time to cut the risk of natural disasters such as the record floods that inundated swathes of downtown Calgary in June. Climate changes are making weather-related losses …

Cat Bonds Rally With Hurricane Season Advancing: Credit Markets

Gains on catastrophe bonds are poised to exceed returns on speculative-grade company debt by the most since 2008 as the Atlantic hurricane season heads into its fourth month. Notes designed to protect insurers from payouts on damage linked to powerful …

Catastrophe Bonds Unbowed by Hurricane Sandy

Investors who have put their money into specialist financial bonds which cover insurance companies from huge natural disasters are unlikely to be hit with big losses from monster storm Sandy even though it is one of the biggest ever to …

Chartis Obtains $575 Million of Reinsurance Coverage

Chartis today announced that it has entered into a reinsurance transaction with Compass Re, which will provide $575 million of protection to Chartis against U.S. hurricanes and earthquakes. This represents a substantial increase from the $275 million of protection originally …