Integrity Re II Pte. Ltd. (Series 2020-1)

Two more outstanding catastrophe bonds that are exposed to potential losses from hurricane Ian have been marked down further on secondary pricing sheets, as US primary insurer American Integrity has increased its estimate for the storm, Artemis has learned.

US primary insurer American Integrity has raised its estimate for losses from 2022’s hurricane Ian and this has caused a further decline in the secondary market prices for some of its Integrity Re catastrophe bonds, with one issuance now marked as likely facing a total loss, Artemis can report.

Catastrophe bonds sponsored by US primary insurer American Integrity have been among those considered threatened by potential losses due to last year’s hurricane Ian and now the first of the Integrity Re series of cat bonds has seen its scheduled maturity date extended, Artemis can report.

Primary insurer American Integrity Insurance Company (AIIC) has proven itself the most consistent catastrophe bond sponsor among Floridian carriers since 2017, according to Cory Anger.

The first catastrophe bond to be sponsored in Singapore by U.S. primary insurer American Integrity will settle at the high-end of size targets of $150 million, but with pricing also at the high-end of guidance as investor demand for higher coupons persists in the market.

Insurer American Integrity has lifted its target for its latest catastrophe bond, with the  Integrity Re II Pte. Ltd. (Series 2020-1) transaction now aiming to secure the company up to $150 million of multi-year catastrophe reinsurance protection.

American Integrity has returned to the catastrophe bond market for what will be its fourth visit, as the company seeks to expand its capital markets backed sources of reinsurance against Florida named storms and hurricanes with a $125 million Integrity Re II Pte. Ltd. (Series 2020-1) transaction.