Alamo Re Ltd. Series 2022-1

The staff of the Texas Windstorm Insurance Association (TWIA) are working with reinsurance broker Gallagher Re and its capital markets unit Gallagher Securities, to reset its existing $700 million of catastrophe bonds, renew a soon to mature $400 million cat bond deal, and begin discussions with reinsurers about its renewal needs.

Members of the Board of the Texas Windstorm Insurance Association (TWIA) expressed concerns over the potential cost of catastrophe bond coverage in 2023, having an expiring $400 million cat bond it wants to renew as part of a target to buy up to $2.92 billion of reinsurance for the coming storm season.

Because of increased exposure and an adjustment to its catastrophe risk modelling approach, the Texas Windstorm Insurance Association (TWIA) could end up buying around 46% more in reinsurance limit for the 2023 hurricane season.

The Board of the Texas Windstorm Insurance Association (TWIA) is being urged to enter the catastrophe bond market and plan for a renewal of expiring Alamo Re notes sooner than normal, as market conditions could make the placement more challenging.

The Texas Windstorm Insurance Association (TWIA) has now successfully secured its new catastrophe bond backed reinsurance protection at an upsized $200 million, with pricing for the Alamo Re Ltd. (Series 2022-1) cat bond finalised at the top of initial guidance.

The Texas Windstorm Insurance Association (TWIA) has now set the target size for its new catastrophe bond at $185 million, while pricing guidance for the Alamo Re Ltd. (Series 2022-1) cat bond has narrowed towards the upper-end of the range.

Firm order terms (FOT’s) for the 2022 traditional reinsurance renewal for the Texas Windstorm Insurance Association (TWIA) suggest an increase of roughly 29% in rate-on-line (RoL), which translates into a spend higher than budgeted, but that is aligned with market conditions and TWIA’s growing program.

The Texas Windstorm Insurance Association (TWIA) is back in the catastrophe bond market as it puts together its reinsurance tower, seeking a $185 million or greater Alamo Re Ltd. (Series 2022-1) cat bond that will act as a renewal of a maturing issuance from 2019.