April 29, 2014
Cadwalader, Wickersham & Taft LLP, a leading counselor to global corporations and financial institutions, has advised Assicurazioni Generali S.p.A., Italy’s largest insurer by premiums and Europe’s third largest insurer, on its first catastrophe bond transaction.
Generali has entered into a reinsurance agreement with a newly formed special purpose reinsurance vehicle domiciled in Ireland, Lion I Re Limited, which has issued principal at-risk variable rate notes to capital markets investors. The reinsurance agreement provides Generali with three years of fully-collateralised per occurrence indemnity protection in respect of losses incurred by Generali and subsidiaries from Europe windstorms affecting selected European countries.
Lion I Re is the first catastrophe bond transaction sponsored by an Italian insurer and the first catastrophe bond providing indemnity protection against Europe windstorm risks to be offered in a Rule 144A offering.
The Cadwalader team included Adam Blakemore, Bruce Bloomingdale, Robert Cannon, Angus Duncan, Jason Schwartz, Ramona Simms and Mal Wattman.
Cadwalader, through its New York and London offices, advises clients on a range of insurance-linked securities transactions including catastrophe and extreme mortality bonds, reinsurance sidecars, collateralised reinsurance, longevity bonds, as well as on bilateral risk transfer agreements, value-in-force monetisations and premium financing securitisations.