Allstate expand capital markets cover with second Willow Re deal

Allstate (NYSE:ALL) have closed their second catastrophe bond deal under the Cayman Islands domiciled Willow Re.

The $250m deal provides Allstate with 3 years protection against windstorms in Texas. The deal is structured such that it would be triggered based on industry losses.

Last year they issued $250m through Willow Re to cover themselves from a hurricane event occurring within the Northeast territory (defined as Connecticut, New Jersey and New York). This latest deal provides cover in a region where there are increasing fears of the impacts of a major landfalling hurricane.