Insights
Notes from the reinsurance market
Short pieces on how reinsurance capital actually moves, and a longer playbook on what changes when a portfolio is tokenized. Every technical term is explained the first time it appears.
The playbook
Four chapters, read in order, on the bridge between reinsurance and on-chain capital.
- Chapter 1 · 32 min readThe bridge between reinsurance and tokenizationHow tokenizing reinsurance portfolios links reinsurers with on-chain capital, with the model step by step, what each side gains and the risks to weigh.
- Chapter 2 · 23 min readReal cases, strategies and concrete benefits"How tokenized reinsurance works in practice: three operating cases, what insurers gain, what allocators should check and what regulators are saying."
- Chapter 3 · 15 min read"Beyond volatility: real value on-chain"Why decentralized finance needs yield with a real economic source, and where tokenized reinsurance and institutional infrastructure fit that need.
- Chapter 4 · 14 min read"Inside NextBlock RWA: the protocol in practice""How the NextBlock RWA protocol is designed to work, in plain words: data layer, vaults, roles, claims and the flows for cedents and allocators."
Market notes
11 short reads, newest first.
- · 2 min readTwo $20m reinsurance deals against a $236m average cat bondTwo private $20m reinsurance deals settled while the average second quarter 2026 cat bond was $236m. Where the mid-market size floor comes from.
- · 2 min readA $7,500 minimum fee shows why small treaties cost more to runOne trustee's minimum fee does not shrink with the trust. The same fixed-cost pattern runs through a reinsurance placement and weighs on small cedents.
- · 3 min readCollateral on a cession follows the reinsurer's ratingUnder NAIC rules, the collateral behind a cession follows the reinsurer's rating, from 0% to 100%, and someone pays to keep that money locked up.
- · 2 min readAlternative capital hit $147bn, and the entry ticket stayed putGallagher Re puts non-life alternative reinsurance capital at a record $147bn. Why the smallest deal worth doing has not moved with it.
- · 2 min readTreaty capital relief shrinks as the calendar runs downUnder Article 209, a treaty earns full solvency credit only with 12 months left. How relief decays through the year, and what the US test asks instead.
- · 2 min readA record year for cat bond funds, and still no room for a $5m treatyArtemis counted 21 UCITS cat bond funds holding $21.06bn, five of them about $16bn. Why record inflows do not add capacity for small treaties.
- · 2 min readReserves move once a year, and in 2024 they moved $7.8bnUS liability reserves were corrected by $7.8bn in 2024. Why an annual correction leaves cedents and quota shares waiting a year to learn the number.
- · 2 min readCat bond buyers keep choosing the slower payout trigger78% of catastrophe bond limit issued this year uses an indemnity trigger. Why sponsors accept the wait, and what time costs at the reporting date.
- · 2 min readAllocators start buying cat bonds directly, but few risks can followA $3.7bn fund bought a catastrophe bond directly for the second time. Why only securities reach allocators, and why mid-market treaties do not.
- · 2 min readA 1983 reinsurance book took 24 months to leave a balance sheetA run-off book from 1983 needed a 24 month Part VII transfer. Why small legacy portfolios stay put and why books below roughly $50m lack a standard exit.
- · 2 min readCat bond lock-ups are deliberate, and they have a priceWhy catastrophe bond capital stays tied up for years, what that costs an allocator, and what a continuously updated NAV changes and leaves alone.