Record cat bond issuance boosts ILS capacity and reshapes pricing landscape

Understanding market trends is essential for stakeholders. As evidenced by the recent surge in catastrophe bond issuance and its implications for insurance-linked securities (ILS) capacity, the landscape is shifting. Exclusively for Intelligent Insurer, Emmanuel Modu (pictured left) and Wai Tang (pictured right) of AM Best provided their analysis of the mid-year 2025 renewals, highlighting how competition among capacity providers, combined with recent catastrophic events, is reshaping pricing and underwriting strategies.