This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred.

Artemis has learned that direct-to-consumer insurtech company, Kin Insurance, has now successfully priced its latest catastrophe bond transaction, securing the 50% upsized target of $300 million of Florida named storm reinsurance protection from the Hestia Re Ltd. (Series 2025-1) issuance, which marks the company’s largest cat bond yet.

At the same time, we’re told the final pricing of the two tranches of Series 2025-1 notes were at the low-end of the already reduced guidance range.

Kin sponsored its debut $175 million Hestia Re Ltd. (Series 2022-1) catastrophe bond cover back in April 2022.

The company then returned to the cat bond market with a $100 million Hestia Re Ltd. (Series 2023-1) issuance in March 2023.

Kin then ventured back to the catastrophe bond market in early February, looking to secure $200 million or more in Florida named storm protection from this Hestia Re 2025-1 deal.

As we reported in our first update on this new deal, the target size was increased to as much as $300 million, while at the same time the price guidance range was lowered for both tranches of cat bond notes.

Now, sources have told us that the upsized target of $300 million has been secured, with the notes priced at the bottom of reduced guidance.

As a result, Hestia Re Ltd., Kin’s Bermuda-based special purpose insurer (SPI), will issue $300 million in two tranches of Series 2025-1 notes.

These notes will provide the sponsor with a three hurricane season source of fully-collateralized Florida named storm reinsurance, on a indemnity trigger and per-occurrence basis, running from June 1st this year to three years after the issuance completes.

The Class A tranche of notes of Series 2025-1 notes, which were originally $100 million in size, were then lifted to a targeted $175 million to $200 million in size, has now been priced at $200 million, so the top end of its upsized guidance.

The Hestia Re 2025-1 Class A notes have an initial base expected loss of 1.51% and were first offered to cat bond investors with price guidance in a range from 7.25% to 8%.

That priced guidance was updated at a lower level, with a spread of between 6.75% to 7.25% then being offered to investors, and we’re told the pricing has now been finalised at the low-end of the spread at 6.75%.

The riskier Class B tranche have been priced at $100 million in size, which is the same price they were originally being offered to investors.

The Hestia Re 2025-1 Class B notes have an initial base expected loss of 2.03% and were first offered to cat bond investors with price guidance in a range from 8.25% to 9%.

In our last update on this deal, we revealed that the priced guidance had also fallen and had been fixed at the low-end of 8.25%.

This is a strong result for Kin, as this latest cat bond builds on the company’s previous success across the market. Kin has maximised its opportunity to increase its reinsurance protection from the capital markets with this Hestia Re 2025-1 deal, capitalising on the strong demand being seen from the cat bond investor base, while also securing the coverage at attractive pricing.

As a reminder, you can read all about this Hestia Re Ltd. (Series 2025-1) in the extensive Artemis Deal Directory that includes details on almost every cat bond ever issued.

Kin secures 50% upsized $300m Hestia Re 2025-1, its largest cat bond yet was published by: www.Artemis.bm
Our catastrophe bond deal directory
Sign up for our free weekly email newsletter here.

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred.

Direct-to-consumer insurtech company Kin Insurance is looking to upsize its new Hestia Re Ltd. (Series 2025-1) catastrophe bond transaction, with now as much as $300 million of Florida named storm reinsurance being targeted from the deal, we can report.

Kin returned to the cat bond market in early February looking to secure $200 million or more in Florida named storm protection from this Hestia Re 2025-1 deal.

Kin had sponsored its debut $175 million Hestia Re Ltd. (Series 2022-1) catastrophe bond cover back in April 2022.

The company then returned with a $100 million Hestia Re Ltd. (Series 2023-1) issuance in March 2023.

Kin’s 2022 Hestia Re cat bond is still marked down around 10 points in secondary broker pricing sheets, on exposure to potential losses from hurricane Ian. But it is due to mature in April this year, so as we said it will be interesting to see if those notes draw to par, or are extended to allow for further development.

With this new issuance, initially Hestia Re Ltd. was looking to issue two tranches of Series 2025-1 notes with a preliminary target of $200 million in size, to provide Kin with a three hurricane season source of fully-collateralized Florida named storm reinsurance, on a indemnity trigger and per-occurrence basis, running from June 1st this year to three years after the issuance completes.

Now, sources have told us that Kin’s target has lifted, with from $275 million to as much as $300 million of reinsurance sought from this two tranche Hestia Re 2025-1 issuance.

What was a $100 million tranche of Hestia Re Series 2025-1 Class A notes are now targeted at from $175 million to $200 million in size, we are told.

The Hestia Re 2025-1 Class A notes have an initial base expected loss of 1.51% and were first offered to cat bond investors with price guidance in a range from 7.25% to 8%, but that has now fallen to a revised and lower range of 6.75% to 7.25%.

The $100 million Class B tranche which are riskier remain at that size, we understand.

The Hestia Re 2025-1 Class B notes have an initial base expected loss of 2.03% and were first offered to cat bond investors with price guidance in a range from 8.25% to 9%, but that has also fallen and now been fixed at the low-end of 8.25%.

Both tranches of notes look set to price with lower multiples-at-market than Kin’s previous catastrophe bond deals, as the insurer looks set to benefit from the strong deal execution seen in the cat bond market this year.

You can read all about the Hestia Re Ltd. (Series 2025-1) catastrophe bond from Kin and every other cat bond deal issued in our extensive Artemis Deal Directory.

Kin looks to upsize Hestia Re 2025-1 cat bond to as much as $300m was published by: www.Artemis.bm
Our catastrophe bond deal directory
Sign up for our free weekly email newsletter here.

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred.

Descartes Underwriting, the parametric risk transfer specialist, has announced the appointment of Blanca Berruguete as Head of Europe, the Middle East and Africa (EMEA) Distribution and Client Management, where she will be based in Madrid, and report to Descartes’ co-founder and Chief Insurance Officer Sébastien Piguet.

In her new role, Berruguete will be responsible for EMEA business development and client services, as well as leading Descartes’ European commercial team.

Berruguete has spent 25 years serving clients and brokers across the commercial insurance sector, which has allowed her to develop a keen focus on building value for clients.

Most recently she served as Global Industry Solutions Director for Construction at Allianz Commercial, part of global insurer Allianz, where she worked closely with underwriters and key account executives to build industry specific expertise and best practices.

Furthermore, Berruguete has also previously served in leadership roles in broking and underwriting, both in London and Madrid, at notable firms, including Generali, the Corporation of Lloyd’s of London, AIG, Zurich Insurance, as well as brokers Heath Lambert and AJ Gallagher.

Addressing her appointment, Berruguete said: “I have worked with many of Europe’s leading commercial insurers to support clients with large, challenging risk transfer requirements, but Descartes’ tech-based approach gives me much greater flexibility. Through Descartes I will be able to provide much more bespoke coverage that better matches the specific needs of each of our brokers and their clients.”

Piguet, added: “We are fortunate to attract a business development leader such as Blanca. Her strong commitment to providing value to clients while building long-term relationships aligns perfectly with Descartes’ mission of offering, in partnership with carriers and brokers, the best coverage for each and every client.”

Descartes hires Berruguete as Head of EMEA Distribution & Client Management was published by: www.Artemis.bm
Our catastrophe bond deal directory
Sign up for our free weekly email newsletter here.

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred.

Direct-to-consumer insurtech company Kin Insurance is back in the catastrophe bond market to sponsor its third issuance, seeking $200 million or more in Florida named storm protection from this Hestia Re Ltd. (Series 2025-1) transaction.

Kin had secured its debut $175 million Hestia Re Ltd. (Series 2022-1) catastrophe bond cover back in April 2022.

The company then followed that up with a $100 million Hestia Re Ltd. (Series 2023-1) issuance in March 2023.

Kin’s 2022 Hestia Re cat bond remains marked down around 10 points in secondary broker pricing sheets, on exposure to potential losses from hurricane Ian. But it is due to mature in April this year, so it will be interesting to see if that transaction draws to par, or is extended to allow for further development.

Kin returns to replace some of that coverage and is seeking what could become its largest catastrophe bond yet, having an initial $200 million target, we’re told.

Hestia Re Ltd., Kin’s Bermuda-based special purpose insurer (SPI), will look to issue two tranches of Series 2025-1 notes, preliminarily targeting $200 million in size, with these notes set to be sold to investors and the proceeds used to collateralize a reinsurance agreement between the SPI and ceding company.

The cedent is initially the Kin Interinsurance Network, but Kin will be able to add additional covered cedents should it introduce further underwriting entities during the term of the cat bond.

Both tranches of notes will provide Kin with a three hurricane season source of fully-collateralized Florida named storm reinsurance, on a indemnity trigger and per-occurrence basis, with cover running from June 1st this year to three years after the issuance completes, sources said.

A currently $100 million of Hestia Re Series 2025-1 Class A notes would attach at $605 million of losses and exhaust at $805 million, we understand.

That gives the Hestia Re 2025-1 Class A notes an initial attachment probability of 1.70% and an initial base expected loss of 1.51%, while they are being offered to cat bond investors with price guidance in a range from 7.25% to 8%, sources said.

An also $100 million Class B tranche are riskier, having an attachment point at $405 million of losses and an exhaustion point at $605 million.

Which gives the Hestia Re 2025-1 Class B notes an initial attachment probability of 2.54% and an initial base expected loss of 2.03%, while they are being offered to cat bond investors with price guidance in a range from 8.25% to 9%, we are told.

We are told that due to inuring reinsurance from other sources, an effective first-event attachment for the notes will be at around $678.6 million for the Class B notes and $878.6 million for the Class A notes.

The multiples on offer with this new cat bond from Kin could end up lower than its debut cat bond, the ranges of spreads on offer imply.

Recall that, Kin’s first Hestia cat bond from 2022 priced to pay investors a multiple of 4.8 times the expected loss, but then Kin’s 2023 cat bond which was less risky priced to pay investors an almost 9.4 times multiple of expected loss.

In this case, the Series 2025-1 Class A notes would be close in multiple terms to the 2022 deal at the mid-point of guidance, but the riskier Class B tranche could result in a lower multiple, it seems.

You can read all about the Hestia Re Ltd. (Series 2025-1) catastrophe bond from Kin and every other cat bond deal issued in our extensive Artemis Deal Directory.

Kin targets its largest Florida wind cat bond yet, $200m Hestia Re 2025-1 was published by: www.Artemis.bm
Our catastrophe bond deal directory
Sign up for our free weekly email newsletter here.

This content is copyright to www.artemis.bm and should not appear anywhere else, or an infringement has occurred.

CatX, the digital catastrophe and parametric risk exchange company, has announced the launch of its AI-powered Catamaran Parametric platform, which has been designed to streamline the complexities of parametric protection for investors.

“Designed to simplify the complex world of parametric protection, Catamaran Parametric guides users of any experience level step-by-step through risk identification and analysis. From initial risk exploration to final protection structure, the platform transforms what was once a manual, time-consuming process into an intuitive, data-driven experience,” CatX explained.

One of the most interesting features of CatX’s new parametric platform is that it will allow users to generate detailed risk reports that are tailored towards their specific risk types.

“This feature provides organizations with a 360-degree view of their risk landscape, uncovering insights that traditional assessment methods might miss,” CatX added.

In addition, CatX revealed that the platform’s AI engine analyses real-time and historical data across an unmatched range of perils, including hurricanes, droughts, severe storms, earthquakes, and temperature events.

By integrating data from meteorological services, users will be able to gain unprecedented insight into risk patterns and potential exposures. Catamaran Parametric’s interactive visualizations also lets users explore everything from hailstone sizes to hurricane wind fields, using colour-coded maps and charts to make complex risk profiles more understandable, CatX added.

Additionally, by using a wizard tool, the platform can also guide users through creating custom protection structures using multiple trigger types and flexible exposure definitions.

CatX also explained that by using its AI-powered platform, users will be able to define event parameters through interactive polygon mapping, as well as review historical data ranges and compare parametric triggers against traditional indemnity structures.

Another notable feature is that the platform can connect users with over 50 different institutional investors and alternative capital providers within the insurance-linked securities (ILS) market.

Benedict Altier, Chief Executive Officer at CatX, commented: “Parametric insurance has tremendous potential, but modelling complexity has been a significant barrier to entry. Our platform breaks down those barriers, making sophisticated risk analysis accessible to both seasoned professionals and those new to parametric protection.”

Lucas Schneider, CTO of CatX, said: “Our technology sets a new standard in parametric exploration. Leading brokers have already licensed our platform, validating our approach to reducing manual efforts while enhancing analytical precision. We are also committed to building in public by sharing key parametric features through an open-access platform.”

Since CatX launched Catamaran as a standalone offering in May last year, the platform has reportedly gained traction among reinsurers, funds and brokers.

“The platform complements CatX’s existing partnerships with premier insurance modeling companies, providing new ILS investors with comprehensive submission and risk analysis capabilities,” the firm added.

It’s also important to note that the launch of Catamaran Parametric takes place during a time where the ILS market is experiencing growing demand for parametric solutions, amid rising traditional insurance costs.

“The platform’s ability to facilitate shorter cover periods, simplified modeling, and faster capital deployment makes it especially attractive to new entrants in the insurance-linked securities space,” CatX concludes.

CatX unveils AI-powered platform to streamline parametrics for investors was published by: www.Artemis.bm
Our catastrophe bond deal directory
Sign up for our free weekly email newsletter here.