MS Amlin finalizes first-ever ILS renewal in Singapore

Reinsurer now has four vehicles in the region

By Kenneth Araullo

Jan 25, 2024 Share

Global specialty re/insurer MS Amlin announced that its Singapore-based operation, MS Amlin Asia Pacific (MS AAP), has completed Singapore’s first-ever catastrophe bond renewal, a critical step in addressing the challenging natural disaster risk environment in Asia.

This was accomplished through MS Amlin’s renewal of its local special purpose reinsurance vehicle (SPRV), Phoenix 2 Re. This process involved securing collateralized capacity from a variety of international investors.

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MS AAP initially established Phoenix 2 Re in 2022, working in conjunction with the Monetary Authority of Singapore (MAS) and utilizing an insurance-linked securities (ILS) catastrophe bond grant. The process also involved collaboration with Hong Kong-based ILS specialist ILS Advisers, part of the HSZ Group.

Following the renewal, MS AAP now has four vehicles in its Phoenix Re series – Phoenix 1, 2, 3, and the renewed Phoenix 2 Re (2024), collectively offering over US$80 million in capacity to support local Asian cedents.

Will Ho, CEO of MS Amlin Asia Pacific, expressed his enthusiasm for completing Singapore’s first catastrophe bond renewal and the fourth transaction in the Phoenix Re series.

“This milestone confirms our commitment to Singapore’s expanding ILS market and highlights the hub’s growing importance as a conduit for investment in Asia,” Ho said. “We see strong growth opportunities in the region’s attractive ILS market and have ambitious plans to further expand our Phoenix Re series. We are also exploring other Singapore-based risk transfer solutions to support global investors, increase insurance capacity in Asia, and help close the region’s insurance protection gap.”

“We are delighted to have been able to provide our ongoing support, alongside the Monetary Authority of Singapore (MAS), to MS Amlin as they further their leadership role in expanding the Asia ILS market with the launch of their fourth Phoenix series. It is extremely rewarding that not only have the majority of investors renewed their commitment to the program, but also to welcome new investors who have contributed additional capacity, demonstrating confidence in this opportunistic and promising region,” ILS Advisers head of ILS Tim Yip said.

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