July 2017/3

Insurance-linked securities (ILS) returns have outpaced yields from stocks and investment grade corporate bonds over the past 15 years, according to analysis from Lane Financial

Cat bond sponsors took advantage of strong investor demand in the second quarter of 2017 to bulk up on insurance-linked securities (ILS) cover, with the upsizing of transactions adding $1.9bn to quarterly volumes.

The 1.5x multiple Axis has agreed to pay to acquire Novae has sparked a market debate around the attractiveness of the deal for both parties.

Novae's exit from the public markets will leave Beazley, Lancashire and Hiscox as the only London-listed insurers at Lloyd's, well short of the sector's heyday when a basket of Lloyd's stocks would have included more than 10 firms.

Novae finally looks set to exit the public markets after years of speculation, but questions remain over whether the 700-pence-per-share recommended bid from Axis could encourage other would-be acquirers to lodge a counter offer.

When Stephen Catlin entered the insurance industry in 1973 after failing to make it to dental school, Lloyd's was rife with "cerebrally challenged" toffs and unscrupulous East End "barrow boys".

Ed has launched a new placing exchange that it estimates will cut its own front-end costs per slip by more than 5 percent from as early as next year, with even larger savings likely once the broker integrates the system into its back-office functions.

Specialty carrier Assurant has placed a $1.36bn property catastrophe reinsurance programme with a 5 percent year-on-year reduction in premiums to about $125.6mn.

Zaffino bonus; Posgate dies; Brokers probed; Willis Re CEO; Zurich hires; IRB Brasil IPO; DfID cat cover; Hurricanes forecast; Aegis' power outage push; Equine MGA.

Bernstein analysts have highlighted looming reserving issues in pockets of the European reinsurance sector, drawing attention to a “red flag” at Swiss Re.

The UK's Financial Conduct Authority (FCA) has listed a number of concerns about the investment consulting market, as the regulator intensifies its focus on intermediaries.

Alibaba-backed Chinese InsurTech start-up Zhong An has struggled to maintain its profit margin despite substantial and sustained top line growth since 2014, according to IPO documents.

When Peter Zaffino joins AIG as chief operating officer next month, the carrier will gain a tough but ruthlessly efficient business leader, sources have said.

No one could accuse AmTrust CEO Barry Zyskind and his team of shying away from a challenge.

In inking a multi-hundred million dollar adverse development deal with Premia, AmTrust has sought to provide investors with further clarity over its financial position.

Underwriters - are you scared of big bad brokers threatening to cut off your dwindling supply of profitable business if you don't do what they want?

Axis' proposed £468mn ($603mn) acquisition of Novae is just the latest example of the ineluctable drive towards consolidation in the sector, as the smaller publicly traded carriers are picked off by their larger rivals.