ILS

Investors in the $100mn tornado bond Mariah II will shortly pay out $35mn to bond sponsor American Family.

French reinsurer Scor has officially opened its Atropos insurance-linked securities fund to third party capital, as predicted by Trading Risk last year.

US Re moves; Guy Carp hire

Flagstone Re's Montana Re 2010 notes are unlikely to be triggered by modelling firm RMS releasing a $2.82bn Paradex index value for US Hurricane Irene losses last month, Trading Risk understands.

UK betting company MyLotto24 has raised EUR70.5mn of reinsurance cover from a private cat bond sold to a handful of investors, introducing a new peril to the insurance-linked securities (ILS) market...

Lloyd's investment vehicle Hampden Underwriting has declared a net loss of £536,000 for the first half of 2011, widening from the £58,000 loss reported for the same period last year.

Flagstone Re is unlikely to benefit from $60mn of cat bond protection from Hurricane Irene as modelling firm RMS published a $2.82bn Paradex index value for the US storm, a trigger used on the Montana Re 2010 cat bond.

French reinsurer Scor hopes to become a premier ILS fund manager as it begins marketing its new Atropos fund to third party investors this month.

Fermat Capital founder John Seo predicted that issuance prices for US hurricane catastrophe bonds could rise by 15-25 percent on a steady bond structure under the new hurricane model from RMS.

Guy Carpenter estimates that the capital markets will lift their reinsurance capacity for property catastrophe risk by 25 percent from current levels to reach volumes of $37.5bn by 2014.

John Cavanagh has been appointed CEO of Willis Re Global Specialties, The Insurance Insider has learned.

US giant Allstate has said it will take a $500mn loss from Hurricane Irene, its maximum possible loss from the event.