Insurance linked securities

Clifford Chance has an experienced multi-disciplinary team of experts in the fields of securitisation, structured debt, derivative products, (re)insurance, investment funds and financial services regulation.

Insurance-linked securities are the most prominent example of the convergence of the capital and insurance markets. As the (re)insurance markets seek increased, diversified and more flexible underwriting capacity, the capital markets are providing innovative risk transfer and risk financing solutions. An increased appetite of capital markets investors for insurance-linked securities has resulted in an unprecedented growth in the volume of insurance-linked securities, derivatives and other structured products transferring risk from insurers to other investors or assisting insurers to fund their exposures.

Clifford Chance has an experienced multi-disciplinary team of experts in the fields of securitisation, derivative products, (re)insurance, capital markets, finance, investment funds and financial services regulation. This, combined with Clifford Chance's global network of lawyers, means that we are uniquely placed to provide legal advice and structuring assistance in relation to the entire range of products and structures whether they be governed by UK, US, German, French or other laws.

In this area we act for financial institutions, insurers/reinsurers, investment funds and institutional investors and work closely with rating agencies and regulators.

Examples of our recent experience include advising and drafting documentation in relation to securitisations in the life sector; credit reinsurance securitisation; catastrophe bonds and industry loss warranties; transformer structures; longevity risk transfer products; credit enhancement products; life settlements; derivatives hedging insurance and financial risks; finite reinsurance and other life company funding structures; transfer of credit risk from banks to insurers; alternative forms of regulatory capital; letters of credit and collateral arrangements; structured GIC's and reinsurance investment platforms.