ProgramBusiness
 
  


  1. News Articles
  2. Related News Articles
  3. Comments
News Article Details

AIG Obtains $400 Million of Reinsurance Coverage


Posted on 11 Jan 2013 by Neilson

Facebook LinkedIn Twitter Google

AIGAIG announced that it has entered into a reinsurance transaction with Compass Re Ltd., which will provide $400 million of peak-zone protection against U.S. hurricanes and earthquakes. To fund its potential obligations to AIG, Compass Re Ltd. issued a $400 million catastrophe bond in a single tranche.

The transaction closed on December 27, 2012 and provides AIG with fully collateralized coverage against the losses described above on a per-occurrence basis (under a reinsurance agreement related to the notes) through December 2014 using an index trigger with state-specific payment factors. With this transaction,

AIG has sponsored $1.85 billion in catastrophe bonds over the past three years, enhancing its role as a market leader in the catastrophe bond marketplace.

Compass Re Ltd. is a special purpose insurer, incorporated under the laws of Bermuda, which has established a program structure enabling potential future catastrophe bond issuances.

AIG is the world's largest insurance organization, serving more than 88 million customers in over 130 countries and jurisdictions around the world. AIG businesses are market leaders in property casualty insurance, life insurance and retirement services, mortgage insurance, and aircraft leasing.


Comments

Post a Comment
If you are a Storefront / Tradingfloor user, click here to login.
Note: As a guest user, please fill out the form below to post a comment.
Post your comments here.
Name :
Email Address :
Captcha :
Comments :
Character left : 2000