Natural Catastrophes in Today’s Climate Disruptive Forces in Investing

Natural disasters have certainly taken their toll on the environment. After Hurricane Ian decimated a large part of the American Eastern Seaboard, totaling roughly $50 billion in insured industry losses, one could ask: how is all of that getting paid for? However, in the Insurance-Linked Securities (or ILS) asset class, there have historically been pathways for investors to seize opportunities as providers of capital. In times of high inflation, investors tend to seek those uncorrelated assets to help diversify their portfolios. But do we still see those opportunities in light of today’s market challenges? On this episode of Disruptive Forces, host Anu Rajakumar speaks with Alex Conyers, Principal on our ILS team, to discuss the climate: not only vis-à-vis the modeling of our natural environment, but the ILS investment landscape.
 
 
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