Torrey Pines Re Ltd. (Series 2025-1)

Palomar Insurance Holdings, the speciality US insurer that offers largely catastrophe exposed property products, has lifted the top of its reinsurance tower to provide as much as $3.53 billion of earthquake reinsurance protection at the renewals, with multi-year catastrophe bonds set to provide 33% of that total for 2025.

Palomar Insurance Holdings is on track to achieve, and possibly exceed, its previously guided reinsurance pricing improvement of flat to down 5% for its 2025 renewal, thanks to favourable pricing on its latest catastrophe bond and a newly structured Hawaii excess-of-loss treaty, CEO Mac Armstrong told analysts during the company’s Q1 2025 earnings call.

Palomar Insurance Holdings has now successfully priced what will be the largest catastrophe bond it has sponsored yet, as the company secured its upsized target for $525 million of California earthquake reinsurance limit from the new Torrey Pines Re Ltd. (Series 2025-1) cat bond issuance, Artemis understands.

Palomar Insurance Holdings has raised the target size for its new Torrey Pines Re Ltd. (Series 2025-1) catastrophe bond issuance, with now as much as $525 million of California earthquake reinsurance limit being sought from the capital markets through this deal.

Palomar Insurance Holdings is back in the catastrophe bond market for what will become the sixth time and the initial targets size suggests this will also be the insurers largest cat bond to-date, as it is seeking $425 million or more in California earthquake reinsurance from this Torrey Pines Re Ltd. (Series 2025-1) issuance.