Inigo Limited has issued its third catastrophe bond for $100 million via Montoya Re Ltd which will cover North American named storms and earthquakes.
The bond will be fronted by Hannover Re and Inigo’s Syndicate 1301 at Lloyd’s will remain the beneficiary of the coverage.
This is the third Montoya Re Ltd. catastrophe bond that specialty re/insurer has sponsored.
As per Inigo, the transaction will use a PCS industry loss index trigger.
Adam Alvarez, Head of Insight at Inigo, commented, “We are very pleased to return to the catastrophe bond market with our third transaction which will be on risk until the end of March 2027. This issuance will bring our total amount of outstanding cat bond limit to $325m.
“ILS investors have shown continued interest in this asset class and this initiative demonstrates Inigo’s commitment to finding effective ways to match investor appetite with our clients’ risk.”
Alvarez continued, “Inigo’s rolling programme of multiyear cat bond placements are now a central part of our financial strategy. This strategy provides stable, long-term capital that enables us to provide effective solutions to our clients’ evolving needs.”
Inigo’s previous two catastrophe bonds launched on 1 April and 14 December 2022, secured $225 million to cover North American storms and earthquakes; with the first issuance also including Japan.
According to our sister publication, Artemis, the coverage from this most recent cat bond will be very similar to the second Montoya Re 2022-2 deal, in providing Inigo with a capital market-backed source of collateralized retro against large industry losses caused by US-named storms, and North American earthquakes, including Canada.
Read more about this Montoya Re Ltd. (Series 2024-1) cat bond, and all others, in Artemis’ Deal Directory.
