Ramble Re Ltd. (Series 2026-1)

Arch Capital Group has returned to the catastrophe bond market looking to secure more retrocessional reinsurance for its Arch Reinsurance unit.

This Ramble Re Ltd. Series 2026-1 catastrophe bond issuance marks the third time Arch Capital has ventured into the cat bond market for peak North American peril retrocession.

Bermuda based special purpose insurer Ramble Re Ltd. will look to issue a single tranche of Series 2026-1 Class A notes that will be sold to investors and the proceeds used to collateralize a retrocessional reinsurance agreement between the SPI and Arch Re.

A $100 million tranche of notes is currently on offer and the protection the notes will provide to Arch Re will be on a per-occurrence and weighted industry loss index trigger basis, over a three-year term, we understand.

The Ramble Re 2026-1 cat bond notes will provide industry-loss based retro to Arch Re, covering significant US Northeast named storm events and US or Canada earthquake loss events, which is the same as the first Ramble Re deal from 2024.

We understand that the $100 million of Series 2026-1 Class A notes that Ramble Re Ltd. is offering will come with an initial attachment probability of 4.14%, an initial expected loss of 3.17% and are being marketed to investors with price guidance for a risk interest spread of between 6% and 6.5%.