CCR Re, the France headquartered worldwide reinsurance firm, has introduced the profitable renewal and launch of a seventh sidecar within the 157 Re collection of offers, which for 2025 sees the addition of a brand new function to allow extra environment friendly reuse of collateral between sidecar vintages.
157 Re has turn into a long-standing collateralised and securitised reinsurance sidecar construction for sponsor CCR Re, enabling the corporate to align itself with third-party traders and profit from their urge for food to share in its underwriting returns.
Now in its seventh yr, the corporate has sponsored a 157 Re reinsurance sidecar yearly since 2019.
This 2025 classic of 157 Re, or 157 Re 25 because the reinsurer has referred to as it, has seen CCR Re trying to additional optimise the construction, to make the collateralised capability and retrocessional safety it offers much more environment friendly and helpful to the corporate.
Particulars of each 157 Re sidecar points may be present in our directory of reinsurance sidecar transactions.
Recall that, 157 Re was the primary and stays the one insurance-linked securities (ILS) car to be ruled underneath French legislation.
CCR Re first sponsored the 157 Re sidecar association for the 2019 underwriting yr, structuring it as a mutual securitization fund, referred to as a “fonds commun de titrisation”, a car usually used for securitisation preparations in France.
Every January since, a 157 Re reinsurance sidecar has been renewed for CCR Re, with the corporate citing the rising significance of the ILS construction.
Again in 2022, CCR Re said that it had increased the 157 Re sidecar’s size by 22% and added a new investor, then for 2023 the corporate stated it had grown the reinsurance sidecar again, by more than 40%, whereas including one other new investor.
Final yr, CCR Re stated it had taken “full advantage of its 157 Re platform to consolidate its growth trajectory.”
The scale of the sidecar issuances have by no means been disclosed, however it’s identified to have turn into a key retrocession and partnership capital construction for its sponsor.
For 2025, the 157 Re 25 reinsurance sidecar has once more seen CCR Re supported by its long-standing investor associate Boussard & Gavaudan Funding Administration LLP (BGIM), with that agency having now backed all seven of CCR Re’s sidecar vintages.
CCR Re stated the 2025 sidecar classic emphasises “its dedication to sustaining long-term partnerships with third-party traders,” whereas additionally persevering with to offer the reinsurer efficient safety.
As soon as once more, Gallagher Securities acted because the structuring and placement agent for the 157 Re sidecar renewal for 2025, whereas France Titrisation has acted because the administration firm, BNP Paribas Securities because the custodian financial institution and authorized recommendation was offered by Linklaters, CCR Re stated.
CCR Re defined that, “according to its technique of diversifying its sources of third-party capital,” the corporate has made varied “enhancements to the operation of 157 Re to facilitate future renewals.”
We perceive from the corporate that these enhancements to the 157 Re sidecar for 2025 relate to a mechanism that enables for extra environment friendly reuse of capital.
It signifies that, for future vintages of the 157 Re sidecar, this mechanism will permit for quicker and extra environment friendly reuse of collateral from one classic to the subsequent, whereas nonetheless retaining the run-off interval to handle any loss growth.
“This seventh problem, and the enhancements made to 157 Re, testify to a shared ambition with our traders to construct this platform for the long run,” defined Mathieu Halm, Chief Retrocession, Different Capital Officer and Board Secretary at CCR Re.
For particulars of many reinsurance sidecar investments and transactions over the historical past of the ILS market, view our complete listing of collateralized reinsurance sidecars transactions.
