Florida Citizens news

Florida’s Citizens Property Insurance Corporation has continued to downsize, by shifting policies back to the private insurance market, while further reducing its exposure with its greatly enhance reinsurance and catastrophe bond program.

Florida’s Citizens Property Insurance Corporation is one of the first catastrophe bond sponsors to opt to use a variable reset facility with its Everglades Re Ltd. (Series 2013-1) catastrophe bond, by choosing to lower the attachment point.

Florida’s Citizens Property Insurance Corporation, which managed to purchase $1 billion of additional reinsurance protection in 2014 for lower spend than in 2013, is set to lower seven out of ten of its primary insurance customers rates in 2015.

It’s official, the $1.5 billion Everglades Re Ltd. (Series 2014-1) catastrophe bond has completed today and is now the largest catastrophe bond transaction issued in the markets history.

In all the excitement surrounding Florida’s Citizens Property Insurance Corporation’s record $1.5 billion catastrophe bond transaction, Everglades Re Ltd. (Series 2014-1), we didn’t cover the entire Citizens reinsurance program placement in detail.

Florida’s Citizens Property Insurance Corporation’s latest catastrophe bond transaction, Everglades Re Ltd. (Series 2014-1), has grown again to hit a new record at $1.5 billion in size, a 275% upsizing from the $400m the deal was initially launched at.

The latest catastrophe bond from Florida’s Citizens Property Insurance, Everglades Re Ltd. (Series 2014-1), is set to become the largest single cat bond transaction ever having increased in size by a stunning 213% to reach $1.25 billion, according to sources.

As expected Florida’s Citizens Property Insurance is back in the catastrophe bond market with the launch of Everglades Re Ltd. (Series 2014-1), a $400m (for now) annual aggregate Florida hurricane catastrophe bond.

Florida’s Citizens Property Insurance is actively talking to insurance-linked securities (ILS) and capital markets investors as it tests their appetite for another catastrophe bond to replace its maturing Everglades Re deal, Artemis understands.

Efforts to shrink Florida’s Citizens Property Insurance continue to see the property insurer of last resorts homeowner policy base moving back into the private insurance market and the next step could be to depopulate commercial policies as well.