One Alliance North America Insurance Company, formerly known as Universal North America Insurance Company, has entered the catastrophe bond market through One Shield Re Ltd., its newly established Bermuda-based Special Purpose Insurer.
One Shield Re issued $115 million of Series 2026-1 Class A notes, providing three years of fully collateralized reinsurance capacity covering named storm and wildfire risks in key areas of exposure.
The states covered include Florida, Georgia, Hawaii, North Carolina, South Carolina, and Texas, for storm risks, and California for wildfires.
By establishing a long-term platform to access collateralized reinsurance backed by capital markets, One Shield Re aims to diversify One Alliance North America’s reinsurance capacity sources.
This initiative enhances the organisation’s capacity to deliver long-term financial protection and provide reassurance to the policyholders and communities it supports.
Miguel Barrales, President of One Alliance North America, commented: “This month marks a special milestone for One Alliance North America as we celebrate our 22nd anniversary since launching operations in Florida – a journey that has taken us from a single-state carrier to a strong, multi-regional insurance company.
“As we continue to grow our portfolio, keeping our policyholders and insurance agency partners at the forefront of everything we do, we are proud to make our debut in the capital markets with our first-ever catastrophe bond. This transaction expands our access to multiyear reinsurance capacity in an efficient, affordable, and scalable way, supporting our ability to offer consistent, long-term protection to those who rely on us.”
Launched at $100 million, the inaugural issuance of the Series 2026-1 notes introduced a new peril and regional mix to the 144A catastrophe bond market within a single transaction.
The offering was well received, allowing the transaction to upsize by 15% based on investor demand and to price within initial guidance. Lockton Re Capital Markets served as Sole Structuring Agent and Sole Bookrunner for the transaction.
“It was a privilege to partner with One Alliance North America on their inaugural catastrophe bond,” says Zach Breslin, Head of Lockton Re Capital Markets. “Their ability to clearly communicate their underwriting strategy and performance was key to driving a successful debut transaction, as well as the establishment of One Shield Re as an additional, scalable source of capital going forward. We’re proud to have supported their entry into the 144A market.”
“We are deeply grateful for the strong response from the capital markets to our first-ever offering and for the confidence investors have placed in what we do and how we do it,” Barrales adds. “This achievement would not have been possible without the support, guidance, and expertise of the Lockton Re Capital Markets and the Lockton Re team, whose partnership has been instrumental throughout this journey. Together, we have taken an important step in strengthening our long-term resilience and our commitment to delivering financial protection and peace of mind to our policyholders.”
To read further details on One Shield Re (Series 2026-1), or other catastrophe bonds and related ILS transactions, visit our sister publication Artemis’ Deal Directory.
