Catastrophe bond & related ILS market hit new high at end of Q1

Catastrophe bond & related ILS market hit new high at end of Q1

The outstanding market size of catastrophe bonds and associated insurance-linked securities (ILS) continued to grow in the first-quarter of 2021, reaching brand-new highs of $34.34 billion, based on residential or commercial property feline, life, specialty and health or other line of work feline bonds, or $48.13 billion if you include the home loan ILS deals we have listed on Artemis.Both figures are the greatest Artemis has ever taped and reflect the continued strong appetite for fully securitized reinsurance related protection among sponsors and for access to the returns of reinsurance associated risks among financiers, resulting in a duration of really strong demand for disaster bonds and other similarly structured ILS deals of late.
Q1 2021 issuance of catastrophe bonds and associated ILS reached $4.63 billion, as detailed in our new quarterly market report which was published last week. Download a copy here.
That first-quarter issuance can be broken down as: approximately $2.6 billion of 144A property disaster bonds; $350 countless other industry feline bonds (in this case health and financial guarantee risks); $238 countless personal property cat bonds; and $1.47 billion of mortgage insurance-linked securities (ILS).
Analyse the break-down of disaster bond and associated ILS issuance by type utilizing our chart listed below (click the image or here to access a vibrant chart):.

The impressive market size, for catastrophe bonds and associated insurance-linked securities (ILS), has actually continued to grow, as delivering companies significantly view securitized access to the capital markets for reinsurance as a effective and appealing option for transferring peak threats, diversifying their risk capital sources and locking in multi-year capacity from investors.
Taking simply 144A openly traded disaster bonds covering home, specialized, life and other threats, along with personal cat bonds, the impressive market stood at $34.34 billion at the end of March 2021.
Thats slight growth since the end of 2020, when the figure stood at $34.1 billion, reflecting the fact new issuances in Q1 2021 simply handled to surpass the level of growing feline bonds seen.
Over the in 2015 though, considering that the end of Q1 2020, the impressive market, based upon 144A home and other lines of business disaster bonds as well as private cat bonds, has grown by roughly 3%, from $33.32 billion to now stand at the new all-time-high of $34.34 billion.
Stay tuned to Artemis as we move through the second-quarter of 2021, which is forecast to be a busy period for new catastrophe bond issuance and well detail every transaction in our Deal Directory.
Well keep you upgraded on all catastrophe bond and related ILS deal issuance, in addition to evolving patterns in the feline bond and insurance-linked securities (ILS) market.
For complete information of first-quarter 2021 cat bond and related ILS issuance, consisting of a breakdown of deal circulation by factors such as perils, activates, expected loss, and rates, along with analysis of the issuance trends seen by month and year.
Download your free copy of Artemis Q1 2021 Cat Bond & & ILS Market Report here
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For copies of all our catastrophe bond market reports, visit our archive page and download them all.

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