With American Integrity Insurance coverage Firm securing its largest disaster bond to this point, the $565 million Integrity Re III Ltd. (Series 2025-1), CEO Robert Ritchie acknowledged that the issuance displays the sturdy confidence and enthusiasm of insurance-linked securities (ILS) traders for the Florida market.
In late February, American Integrity Insurance coverage Firm efficiently upsized its new Integrity Re III Ltd. (Series 2025-1) cat bond to supply $565 million of fully-collateralized US named storm reinsurance throughout southeast states, whereas the notes all priced beneath their preliminary steerage too.
As we reported at the time, the issuance was initially set to function seven separate tranches of notes, however the riskiest Class E layer was faraway from the issuance, whereas the goal for the remaining six tranches of notes was raised to $550 million of collateralized disaster reinsurance for the insurer.
Nonetheless, we then later realized, that the $550 million goal measurement remained, but there had been some adjustments made to the sizes of certain tranches, whereas all six noticed their worth steerage lowered additional.
Then, simply final week, we reported that there was a last-minute upsizing for one of the tranches of notes, which managed to take the final issuance size to $565 million, making this by far American Integrity’s largest, whereas the pricing was finalised on the bottom-ends of lowered steerage for all six tranches of notes.
Commenting on the completion of the biggest cat bond ever sponsored by his firm, CEO Ritchie stated: “We’re thrilled to announce that American Integrity Insurance coverage Firm has efficiently secured $565 million by means of our newest disaster bond, Integrity Re III Ltd. (Sequence 2025-1).
“This achievement not solely marks our largest cat bond issuance to this point but in addition displays the strong confidence and enthusiasm of Insurance coverage-Linked Securities (ILS) traders within the Florida market.”
Ritchie went on to say that: “The overwhelming assist from the ILS group has enabled us to upsize the providing from an preliminary goal of $325 million to $565 million, with all tranches pricing beneath preliminary steerage.
“This sturdy demand underscores the optimistic sentiment in direction of Florida’s insurance coverage panorama and alerts downward stress on reinsurance charges as we strategy the June 1 renewals.”
He concluded: “We lengthen our heartfelt gratitude to our traders and companions for his or her unwavering assist. Collectively, we’re fortifying the resilience of Florida’s insurance coverage market and paving the way in which for a safer future.”
Details of every cat bond from American Integrity Insurance can be found in our Deal Directory
You’ll be able to learn all about this new Integrity Re III Ltd. (Series 2025-1) disaster bond and each cat bond deal within the Artemis Deal Directory.
