Isosceles Insurance Ltd., the private insurance-related securities (ILS) and catastrophe bond issuance platform operated by Marsh McLennan and reinsurance broker Guy Carpenter, has closed another deal, with an Isosceles Insurance Ltd. (Series 2021-H) issued for $ 21.5 million.
The ILS Isoceles Insurance Ltd. issuance platform a captive vehicle he inherited when MMC acquired JLT.
The Isoceles Re vehicle issues 4 (2) or 4 (a) (2) securities, therefore private placements, including privately placed catastrophe bonds, insurance-related securities (ILS) and also securitization of securities. ‘other converted guaranteed reinsurance agreements.
Since its launch, we have listed a number of Isoceles Re private cat bond transactions in our extensive Directory of Catastrophe Bonds and Insurance Related Securities (ILS) transactions.
This latest issue from the Isosceles Re structure brings the number of transactions we have listed for the vehicle to seven.
In this latest show unveiled, Isoceles Insurance Ltd. issued a new tranche of privately placed insurance-linked notes, or private cat bonds, totaling $ 21.5 million in venture capital issued.
As with every private ILS or Catastrophic Bond transaction we come across, the details are limited, so we had to make some assumptions in order to include these private ILS Isosceles Re transactions in our Catastrophe Bond transaction directory.
The $ 21.5 million Series 2021-H Notes issued by Isosceles Insurance Ltd. , typically for a specific catastrophic bond fund or ILS strategy.
The $ 21.5 million Series 2021-H Notes have a maturity date of August 5, 2022, which suggests that it could be a reinsurance or retrocession transaction completed earlier this summer. and that took longer to reveal itself, or that they could represent a purchase yielding relief coverage after some of the recent catastrophic loss events around the world.
As with every private transaction of ILS or Catastrophic Bonds, we assume that this covers the risks of real estate catastrophe reinsurance or retrocession, which will have been transformed to allow an ILS fund or ILS investor to procure an asset. that responds to a catastrophe bond mandate, offering greater options in terms of secondary liquidity, or simply for a cedant to access the capital market for protection.
Overall, private ILS or cat bond lite agreements fit into one of many use cases.
Either as direct guaranteed reinsurance coverage for a primary insurer, which has been transformed and securitized, or to be assumed by a single ILS fund or investor, or by a small group of funds / investors.
Or, as an ILS (hedging) fund-to-fund transaction, or a retrocessional reinsurance investment transformation, or the transformation of a specific risk transfer agreement, such as an Industrial Loss Guarantee (ILW).
Normally, the dedicated capital markets unit of reinsurance broker Guy Carpenter, GC Securities, will have structured the transaction and acted as bookrunner for this private ILS transaction from Isosceles Insurance Ltd. Whereas Marsh Management Services will likely have acted as the insurance manager for the vehicle itself.
We have added this private transaction of ILS or private catastrophe bond Isocele Insurance Ltd. (Series 2021-H) in our extensive directory of catastrophic bond offerings.