Hannover Re teams up with TWIA on ILS transaction

Hannover Re has transferred storm risk for the Texas Windstorm Insurance Association into the capital markets in its latest ILS transaction.

Institutional investors are providing $400 million of capital in support of the transaction, which matures in three years, with risks limited to the state.

The transaction is the latest in a long line for Hannover Re, which has been active in the ILS space since 1994.

Commenting on the transaction, Ulrich Wallin, CEO of Hannover Re says: "With this transaction Hannover Re has underscored its long-standing expertise in the field of alternative risk transfer and leveraged the opportunity to generate low-risk and stable margins."