Everest premiums ceded to Mt. Logan Re rise in Q2 2026, cedes $274m to Annapurna sidecar

Everest Group, the global insurance and reinsurance specialist, reported an increase in premiums ceded to Mt. Logan Re Ltd., its third-party capitalised sidecar-like structure in the second-quarter of 2026, while the company also disclosed ceding $274 million of written premiums to its new Annapurna Re casualty reinsurance sidecar vehicle.

In recent quarters, Everest Group’s ceded premium that is passed on to the Mt. Logan Re structure, which is where its third-party reinsurance capital management and insurance-linked securities (ILS) style investment activities occur, had declined after a change in accounting methodology.

That accounting change had driven a reduction of ceded written premiums reported, but not an actual reduction in annual premiums transacted with the third-party capital vehicle, we understand.

So, it’s notable that for the second-quarter of 2026, the amount of premiums ceded to the Mt. Logan Capital Management entity have increased this time around. It’s the first increase in a quarter, year-on-year, since the accounting change was made.

Which perhaps can be explained, at least in part, by the fact Mt. Logan’s assets under management have risen, with now $3.4 billion at its disposal, which includes the $600 million of capital related to the recent launch of the Annapurna Re casualty sidecar vehicle.

Leaving out the Annapurna Re sidecar, Mt. Logan Capital Management’s AUM is still much higher than it was a year ago, which gives more funding to the core Mt. Logan Re strategies, helping to fund more premium cessions, we believe.

For the second-quarter of 2026, Everest reports ceding $92 million of both written and earned premiums to Mt. Logan Re, which is higher than Q2 205 when $80 million of written premiums and $92 million of earned premiums were ceded to the third-party capital backed reinsurance structure.

Q2 2026 saw $12 million of losses and loss adjustment expenses ceded to Mt. Logan Re, while that figure was zero for the prior year quarter.

For the first-half of 2026, ceded written and earned premiums were $210 million, while losses and LAE ceded were only $42 million, compared to H1 2025 with $250 million of ceded written premiums, $216 million of ceded earned premiums and a much-higher $121 million of losses and LAE ceded to Mt. Logan Re.

The lower loss and LAE figure for H1 2026 implies strong performance for the third-party capital backed reinsurance investment strategies under Mt. Logan Re Ltd.

Everest Group also reported $4 million of income earned from its investment into cells of Mt. Logan Re for H1 2026, slightly higher than the $3 million earned in H1 2025.

Mt. Logan Re remains the largest source of reinsurance recoverables for Everest, due to these cessions it makes to the structure, another reflection for how efficient third-party capital can assist re/insurers.

Moving on to the Annapurna Re casualty reinsurance sidecar, which Everest launched in June 2026.

Annapurna Re is capitalised with $600 million from third-party investors, with Stone Point Insurance Solutions the anchor investor backing the venture.

Everest had said that it expects to cede around $200 million of premiums to the Annapurna Re sidecar structure each quarter.

For its launch though the figure was higher, with $274 million of written premiums ceded to the sidecar, while Everest also $81 million of earned premium and $58 million of losses and LAE were ceded in the second-quarter as well.

These increased cessions drove a decline in net written premiums for Everest in the period, as you’d expect. It will be interesting to see if the company reports any income benefits as the Annapurna Re strategy scales up further and over time, or whether these are hidden within its standard reporting metrics.

Recall that Mt. Logan Capital Management will service the assets and investors behind the Annapurna Re sidecar, as well as its own structure Mt. Logan Re, elevating the importance of the third-party capital strategies that Everest has adopted.

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