Cat bond news

US primary insurer Allstate has reported a relatively low month of catastrophe losses for May 2026, announcing $289 million pre-tax. This represents a 63% decrease from the prior year, and when combined with April’s losses, this brings Allstate’s total pre-tax catastrophe losses for April and May 2026 to $1.16 billion.

With the 2026 Atlantic hurricane season now underway, the key meteorological factors influencing tropical cyclones have pointed towards a below-average season in terms of storm numbers, which affects the tactical positioning of an insurance-linked securities (ILS) or catastrophe bond portfolio, a new report from Solidum Partners AG has highlighted.

The catastrophe bond and insurance-linked securities (ILS) markets played a very significant role in determining price levels and driving improved terms and conditions for reinsurance buyers at the June 2026 Florida reinsurance renewals, according to Gallagher Re’s Head of North American Property, Adam Schwebach.

A recent paper from investment manager Neuberger Berman highlights catastrophe bonds as a “very compelling opportunity” for investors seeking genuine portfolio diversification, which comes at a time when macroeconomic uncertainty and risk-asset volatility are expected to remain in focus for the foreseeable future.

Achmea, the Netherlands headquartered European insurance group, has now raised its target for collateralized European windstorm reinsurance from the new Windmill III Re DAC (2026-1) catastrophe bond by one-third to €100 million, while the price guidance has been lowered, Artemis can report.

Mercury General Corporation (Mercury Insurance), the California headquartered insurer, has now set the target for fire reinsurance limit from the new Luca Re Ltd. (Series 2026-1) catastrophe bond issuance at $150 million, while the price guidance for the notes had fallen for a second time, Artemis can report.

Arch Capital Group is now aiming to upsize its latest catastrophe bond sponsorship, now targeting a 50% upsized $150 million of property catastrophe retrocession for peak North American perils from its new Ramble Re Ltd. (Series 2026-1) issuance, Artemis has learned.

Insurer USAA has extended the maturity dates for two tranches of its Residential Reinsurance 2022 Limited (Series 2022-1) annual aggregate catastrophe bond issuance, amounting to $95 million of notes, which we assume is to allow for continued development of losses from the April 2024 to end of March 2025 risk period.

Home insurtech Hippo Holdings Inc. has completed the placement of its 2026 reinsurance program, effective June 1st, 2026, securing a meaningful $777 million of total aggregate reinsurance limit, and $513 million of first-event coverage limit.

With the development of a strong El Niño expected to be one of the key drivers of global catastrophe risk during the second half of 2026 and into early 2027, specialist catastrophe bond and insurance-linked securities (ILS) manager Twelve Securis believes that it will also drive a redistribution of risk across the re/insurance and ILS […]