The Inter-American Development Bank (IDB) has announced plans to support Latin American and Caribbean nations in issuing catastrophe bonds and swaps, as part of a broader initiative aimed at strengthening financial resilience against natural disasters.This comes as the IDB recently launched its Ready and Resilient Americas program, a regional effort designed to improve disaster preparedness … Read more
Catastrophe bonds are once again showing their value as a source of portfolio stability, with specialist cat bond fund managers Plenum Investments and Icosa Investments AG highlighting the sector’s calm performance despite growing volatility in broader financial markets tied to U.S. tariff tensions and macroeconomic uncertainty.In separate updates, both Plenum Investments and Icosa Investments AG … Read more
Florida’s Citizens Property Insurance Corporation, the state’s insurer of last resort, is aiming to purchase $2.94 billion of new traditional reinsurance and catastrophe bonds for the 2025 hurricane season, which would take its total risk transfer to $4.54 billion this year.Florida Citizens still has $1.6 billion of catastrophe bonds outstanding to provide protection through the … Read more
Having increased its estimate for National Flood Insurance Program (NFIP) losses from hurricane Helene, we’re told that FEMA has gone ahead with the partial repayment of principal and also extended the maturity dates for two of its FloodSmart Re catastrophe bond tranches.The U.S. Federal Emergency Management Agency (FEMA) had put an initial estimate for NFIP … Read more
Fitch Ratings, a provider of credit ratings, research, and risk analysis, expects to see a further expansion of alternative reinsurance capacity in 2025, supported by cyber catastrophe bond issuances, which will add to the reinsurance sector’s capital base and help absorb earnings volatility.Looking back at 2024, three cyber cat bonds were introduced to the insurance-linked … Read more