The global insurance-linked securities (ILS) market continued to expand in the third quarter, according to the Bermuda Monetary Authority’s market report.

Bermuda remains the leading jurisdiction for issuance, accounting for 68% of the total $US25.6 billion ($35.95 billion) ILS capacity.

Eight new bonds were issued in the third quarter, all by Bermuda-domiciled special-purpose insurers, with a notional value of $US1 billion ($1.4 billion).

These cover perils in North America, Asia and Europe.

Since 2010 Bermuda-based special purpose insurers have issued 116 ILS bonds.

Bermuda is also host to foreign ILS listings. There are 79 ILS deals (comprising 98 tranches) listed on the Bermuda Stock Exchange with an aggregate nominal value of $US17.4 billion ($24.4 billion).

Eight new ILS deals were listed on the exchange during the third quarter and one matured.

ILS cat bond issuance volume in the quarter was three times higher than the corresponding period last year.

The average deal size was $US130 million ($182.6 million), up from $US72 million ($101 million).