Mangrove Property Insurance Company, the Florida based specialist insurer, has announced the launch of Grove Re Ltd., the company’s first sidecar reinsurance vehicle, indicating a growing strategic goal to tap into efficient third-party capital sources.
Mangrove Property Insurance is a more recent start-up in the Florida property insurance marketplace, having been founded by well-known industry executive Steve Weinstein in early 2025.
Already Mangrove has demonstrated its appetite to source efficient reinsurance capacity, having successfully sponsored its first catastrophe bond this year.
That saw Mangrove securing $111 million of named storm reinsurance protection from its debut Buttonwood Re Ltd. (Series 2026-1) catastrophe bond in May 2026.
Now, the insurer has established a sidecar reinsurance vehicle, named Grove Re Ltd., which the company explained will operate on an aligned basis and enhance its access to third-party reinsurance capital.
Grove Re Ltd. was established in Bermuda back in March this year and has now been licensed as a Class 3A insurance company by the regulator there.
Mangrove said that Grove Re is designed to “support its long-term risk management and underwriting strategy,” enhancing its risk transfer efficiency, optimising its use of capital and supporting sustainable growth across Florida.
“Grove Re reflects Mangrove’s disciplined, data-driven approach to underwriting, its strategic vision to operate for the long-term across market cycles, and the company’s commitment to building a resilient, scalable platform focused on Florida – one of the world’s most significant and complex property insurance markets,” the company explained.
CEO Steve Weinstein added, “We are pleased to announce the formation of Grove Re, and its licensure in Bermuda, a preeminent market both for commercial re/insurance relationships, and for robust oversight and operating standards.
“Grove Re is wholly owned within our group and will underwrite and operate on an aligned basis, enhancing our capital efficiency, strengthening our risk management and access to reinsurance and third-party capital, and reinforcing our long-term stability to benefit Mangrove’s policyholders.
“The requirements to be licensed and operate in Bermuda are not trivial,” Weinstein added. “Our successful launch of Grove Re reflects Mangrove’s commitment to invest in both capabilities and financial protection to fulfil our mission of being a partner for the long-term with policyholders and agents across Florida.”
No details have been shared on capitalisation of the Grove Re sidecar structure.
A number of other Florida-focused property insurers have similar reinsurance vehicles, which operate as a kind of reinsurance captive underwriting structure for these companies, but provide optionality to bring in third-party capital investors to share in some of the risks.
As a result, these structures can optimise the reinsurance buying strategies of their owners, while adding a source of efficient protection and enabling the efficiencies of third-party capital to be utilised in their reinsurance programs.
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.
View all of our Artemis Live video interviews and subscribe to our podcast.
All of our Artemis Live insurance-linked securities (ILS), catastrophe bonds and reinsurance video content and video interviews can be accessed online.
Our Artemis Live podcast can be subscribed to using the typical podcast services providers, including Apple, Google, Spotify and more.
