Catastrophe Risks
2024 Insured Natural Catastrophes Losses Expected To Top $135 Billion
For the fifth consecutive year, insured losses resulting from natural catastrophes have exceeded $100 billion, according to the Swiss Re Institute. Losses in the United States represent at least two-thirds of this year's global insured losses of more than $135 billion as of current estimates. Learn More
2024 Atlantic Hurricane Season Sees Predicted High Level of Activity
The 2024 Atlantic hurricane season ended November 30 with a high level of activity that fell within the predicted range, according to the US National Oceanic and Atmospheric Administration (NOAA). The Atlantic basin saw 18 named storms in 2024, 11 of which were hurricanes with 5 intensifying to major hurricanes. Learn More
Exploring Parametric Innovations in the Captive Market: Insights from the Bermuda Captive Conference
In a Bermuda Captive Conference presentation, Greg Fears of Pinnacle Actuarial highlighted parametric insurance's role in the captive market. By using predefined triggers, captives can provide faster payouts, address unique risks, and bridge protection gaps in traditional insurance, benefiting sectors with diverse needs, from agriculture to pandemic-related business interruption. Read More
Temporary NFIP Extension Provides Short-Term Relief during Hurricane Season
With a temporary National Flood Insurance Program (NFIP) extension granted during hurricane season, AM Best highlights the need for private insurers to assume more flood risk for a sustainable flood insurance market, as private market growth has stagnated and NFIP debt continues to rise amid increasingly severe weather events. Read More
Cat Bond Issuance Grows as Investors Seek Returns and Climate-Risk Mitigation
Fitch Ratings projects continued record issuance of catastrophe bonds in 2024, as insurers look to manage risks and offer strong returns to insurance-lined securities investors. Despite increased costs, the market remains attractive due to high yields, diversification benefits, and favorable risk spreads in the reinsurance market. Read More
Stable Insurance Market Despite Florida Hurricanes, Aon Reports
Aon's report indicates that insured losses from Florida Hurricanes Helene and Milton, estimated between $34 billion and $54 billion, won't destabilize the property insurance market. Strong capitalization in primary and reinsurance markets ensures stability through 2025, though businesses must focus on resilience amid climate-change-related risks. Read More
Resilient Growth: Swiss Re's 2024 Insights on the Insurance-Linked Securities Market
Swiss Re's "Insurance-Linked Securities Market Insights" for 2024 shows strong insurance-linked securities market performance with over $12.3 billion in primary issuances. Despite natural catastrophes, the market saw minimal volatility and high investor confidence, per the report. Cat bond indices posted solid returns, highlighting the sector's resilience and growth. Read More