AETNA CLOSES VITALITY RE ISSUE

US-based health insurer Aetna has closed its Vitality Re medical benefit claims risk insurance linked securitization (ILS) (IIN 24, November 26 2010). The securities protect Aetna against a medical benefit ratio (MBR) exceeding a preset attachment level of 104%. Aetna had originally hoped to transfer $200m in risk, but the size of the issue was scaled back to $150m, although Artemis thought that this was unlikely to be due to a lack of enthusiasm on the part of purchasers. S&P has rated the Class A notes at 'BBB-'.