Porch targets lower pricing for debut $100m Harbor Crest Re 2026-1 catastrophe bond

Porch Group, the US homeowners specialist insurer, is now targeting lower pricing for its debut catastrophe bond sponsorship, still aiming to secure $100 million in multi-peril collateralized catastrophe reinsurance through the Harbor Crest Re Ltd. (Series 2026-1) issuance but now at a lower spread, Artemis can report.

Porch entered the catastrophe bond market for the first time in June, seeking $100 million of reinsurance from the capital markets to protect its two underwriting entities, the Porch Insurance Reciprocal Exchange and Homeowners of America Insurance Company.

The company maintains that target size for now, but is aiming to secure the coverage at a reduced cost, capitalising on investor appetite for cat bond opportunities.

Harbor Crest Re Ltd. continues to offer investors a single $100 million tranche of Series 2026-1 Class A notes that are designed to provide Porch’s underwriting entities with a roughly four-year source of collateralized and multi-peril reinsurance protection.

The notes will cover Porch against certain losses from named storms, winter storms, severe weather events, wildfire and fire-following earthquake events across the 50 states of the US and D.C., and have been structured on a per-occurrence and indemnity trigger basis

The $100 million of Harbor Crest Re Series 2026-1 Class A notes come with an initial base expected loss of 1.97%.

They were initially offered to investors with price guidance for a spread in a range from 5% to 5.75%, but that has now fallen to a revised and lower range of between 4.5% and 5%, as Porch targets stronger price execution.

So far, 2026 has seen 12 first time cat bond sponsors enter the market in H1, with Porch set to make that 13 once its debut cat bond settles. That is already approaching the record set in 2025, when 15 first time sponsors entered the cat bond market.

You can read all about this Harbor Crest Re Ltd. (Series 2026-1) transaction and every other catastrophe bond deal in our extensive Artemis Deal Directory.