Fidelis

The syndicate is expected to write ~$300mn of business in 2026.

PCS's loss estimate for the March Missouri SCS pushed the bond beyond its exhaustion point.

A total $225mn of fresh limit entered the market across two deals.

The bond protects against losses in the US, Canada, Europe and Australia.

The carrier previously redeemed from a Herbie Re cat bond for California wildfire claims.

The deals covered Euro wind and Italy quake, Florida hurricane and a retro bond.

The bond will provide multi-peril coverage on an industry loss basis.

Secondary market traders are baking in further loss potential after PCS increased its wildfire and Helene loss estimates.

Suzanne Wells is also joining the company from Arch as COO.

The bond was trading at around 12.3c on the dollar in the secondary market last month.

Pricing for both falls at the lower end of the recently updated estimates.

The carrier is targeting annual aggregate cover with a PCS index trigger.

The bond is currently trading at around 65c in the dollar on the secondary market.

The deal is a large expansion on last year’s cat-bond coverage.

ILS managers have pioneered externally managed rated carriers, but have done so with cost-consciousness in mind.

The market is characterised by rising prices and shrinking deal sizes as investors pick and choose over which bonds to back.

Fidelis chairman Richard Brindle said a shift towards named cat perils and away from complex structures is underway, but that carriers need more unity between inwards and outwards teams to navigate the harder market.  

The correlation between a good ESG score and low loss ratio is strongest in property insurance, the report shows.

The cover is triggered by PCS territory-weighted industry loss and attaches at $12.5bn.

The increased yield reflects the harder post-Ian market.

The carrier pushed London brokers for a reduction in the traditional 15% commission.

The cover will be triggered by territory-weighted annual aggregate industry loss.

How much capacity is available to meet rising cat reinsurance demands was a key theme throughout this year’s Rendez-Vous.

Ratings agencies suggest that carriers must do better on controlling volatility – but diverging risk appetites give the lie to the idea that the industry is walking away from risk.