Mangrove secures record catastrophe reinsurance cover for 2026 hurricane season

Mangrove Property Insurance Company, the Florida based specialist insurer, has secured a record-setting catastrophe reinsurance programme for the 2026 Atlantic Hurricane Season, which is set to provide protection against both the frequency and severity of catastrophe events, with coverage reportedly extending to a 1-in-175 year storm.

According to the announcement, Mangrove’s reinsurance programme also includes aggregate cover for protection against third and fourth events, as well as the placement of the firm’s debut $111 million Buttonwood Re Ltd. (Series 2026-1) catastrophe bond sponsorship.

The Buttonwood Re 2026-1 cat bond provides Mangrove with capital markets-backed reinsurance protection on both a per-occurrence and annual aggregate basis covering losses arising from named storms across Florida.

Shortly after the transaction was completed, Stephen Weinstein, Chief Executive Officer and Founder of Mangrove, highlighted how the inaugural catastrophe bond represents “an important milestone” for the company.

In addition, Mangrove stated that the new programme exceeds all state regulatory and rating agency requirements and is backed by leading global reinsurance players, with significant capacity supplied by over 30 of the largest and most robust reinsurers across the globe.

Several collateralized reinsurers and insurance-linked securities (ILS) managers have also supplied capacity to the program, including Ada Re, Hamilton’s collateralized reinsurer; Elementum Advisors; Eskatos Capital Management; Nephila Capital; and Quantedge.

However, some of the other participating reinsurers in the program may also be third-party capital fronted by a rated balance-sheet as well.

Moreover, this level of capacity builds on Mangrove’s vision of market leadership in Florida, its collaborative approach, and its strategy of being an optimised partner for global reinsurers across market cycles.

Mangrove founder and CEO Stephen Weinstein, commented: “Mangrove’s all-star team of experienced professionals, our clean balance sheet, underwriting culture and our strong risk management capabilities make us an attractive Florida-based property and casualty company to partner with and to set a new standard of reinsurance protection for our policyholders.”

Adding: “We’re thankful for this record setting level of support from global market reinsurers and appreciate the partnership-oriented approach reflected in our market acceptance.”

Mangrove recently set up its first sidecar reinsurance vehicle, Grove Re Ltd., a Bermuda-domiciled Class 3A insurance company to support its long-term risk management and underwriting strategy.

Mangrove also explained that the sidecar will operate on an aligned basis and enhance the company’s access to third-party reinsurance capital.

As a reminder, you can read all about the many reinsurance sidecar investments and transactions over the history of the ILS market, by visiting our comprehensive list of collateralized reinsurance sidecars transactions.