Sanders Re II Ltd

US primary insurance giant Allstate has returned to the catastrophe bond market and secured $74.5 million in additional multi-peril reinsurance protection through a new Sanders Re II Ltd. (Series 2024-2) cat bond issuance that has been relatively privately placed as zero-coupon notes, Artemis has learned.

Artemis can report that the annual aggregate catastrophe losses applicable to US primary insurer Allstate’s outstanding catastrophe bond that features a $1m franchise deductible are now just slightly below the attachment point for the notes, suggesting the maturity will likely extend to allow for any loss development.

US primary insurer Allstate added $343 million of catastrophe losses in the month of March, taking its Q1 2024 cat loss total to $731 million, suggesting further erosion of the retention under the firm’s aggregate reinsurance cat bond coverage, although the data suggests that the tranches of notes do appear safe from actual losses.

Allstate reported a massive toll from severe weather related wind and hail events in 2023 and has booked a $36 million catastrophe reinsurance recoverable against one of its exposed Sanders Re II catastrophe bonds for the year.

US primary insurer Allstate has reported January catastrophe losses of $325 million, with the majority of this coming from just two events, suggesting the potential for further loss aggregation under its aggregate reinsurance cover from its catastrophe bonds.

US primary insurer Allstate has issued an update on qualifying catastrophe losses for its aggregate Sanders Re catastrophe bonds, with additional impacts through to the end of 2023 meaning one of the exposed tranches now sees its retention ~82% eroded, while others are eroded by between 53% and 56%, this publication has learned.

US primary insurer Allstate has reported a much lighter catastrophe loss burden for the fourth-quarter of 2023, which has served to slow down what was looking like a very rapid build-up of annual aggregate catastrophe losses across the first six months of the risk-period for its in-force catastrophe bonds.

US primary insurer Allstate has updated on its catastrophe losses suffered through September and all of the third-quarter, which added to its Q2 tally takes the insurers pre-tax total for the first six months of the annual aggregate year for its catastrophe bonds to $3.88 billion.

US primary insurer Allstate has reported yet another costly month of catastrophe losses for August 2023, reporting some $641 million of cat losses for events that occurred in the month, with around half coming from the Maui wildfire.

Allstate, the US nationwide insurance giant, has reported a further $313 million of pre-tax catastrophe losses for July 2023, which takes the pre-tax total for the first four months of the annual aggregate year for its catastrophe bonds above $3 billion.