Cat bond news

Sutton National Group has entered the catastrophe bond market for the first time and intriguingly is seeking a capital markets backed $75 million or larger source of fire reinsurance protection in California from this debut Greengrove Re Ltd. (Series 2025-1) issuance, we have learned.

The catastrophe bond market is on-track for a stunning first-quarter of activity in 2025, with the Q1 issuance record already broken and the three-month period now projected to see more than $6 billion of cat bond risk capital issued, Artemis’ data shows.

Speaking during Hiscox’s full-year 2024 earnings call, Joanne Musselle, Group Chief Underwriting Officer (CUO), said the company made significant savings on its retrocession placement at the 1/1 renewals, then allocated some of those savings to support its recent $200 million Ocelot Re Ltd. (Series 2025-1) catastrophe bond.

MLC Asset Management, an Australian investment arm of Insignia Financial Group, has launched a new multi-manager insurance-linked securities (ILS) fund offering, the MLC Reinsurance Investment Fund, which marks the firm’s first dedicated ILS fund strategy that is being offered to institutional investors.

Consecutive record years of cat bond issuance, a fast start to this year, a broadening investor and sponsor base, and expansion into perils like cyber and casualty, means it’s an exciting time to be in the insurance-linked securities (ILS) space, according to Jason Bolding, CEO of Gallagher Securities.

The overall yield of the catastrophe bond market stood at 10.44% at the end of February 2025 according to data from specialist manager Plenum Investments, with the company explaining that opposing forces are driving the cat bond market yield sideways at this time.

Speaking earlier today during Beazley’s earnings call for its Q4’24 results, Chief Executive Officer (CEO), Adrian Cox, revealed that the London headquartered specialty insurance and reinsurance underwriter, plans to sponsor more cyber catastrophe bonds in 2025 as it continues to grow.

Japanese insurance company Sompo Japan is back in the catastrophe bond market seeking $150 million or more in reinsurance protection for Japanese typhoon and flood loss events from a Sakura Re Ltd. (Series 2025-1) issuance, Artemis has learned.

We’ve learned that Heritage Insurance Holdings, Inc., the nationally expansive, Florida headquartered property and casualty insurer, is now targeting lower pricing for its new $200 million Citrus Re Ltd. (Series 2025-1) catastrophe bond issuance.

Florida Peninsula Insurance Company has returned to the catastrophe bond market for its second sponsorship, this time seeking what would be its largest yet, with a target to secure $175 million or more in named storm reinsurance from this Palm Re Ltd. (Series 2025-1) cat bond deal, Artemis has learned.