QBE, the Australia-headquartered global insurance and reinsurance company, has now successfully closed its latest catastrophe bond to secure the $400 million of international peak peril reinsurance from the Bridge Street Re Ltd. (Series 2025-2) issuance.
This is the second issuance of Notes for Bridge Street Re, and will provide QBE and certain underwriting subsidiaries of the company, with a $400 million source of reinsurance against losses caused by named storms and earthquakes in the US, as well as earthquakes in Australia and New Zealand on a per-occurrence and indemnity trigger basis, running across a three-year term, from January 1st 2026.
Peter Burton, QBE Group Chief Underwriting Officer, commented: “This transaction enables QBE to leverage the growing ILS market to complement our traditional reinsurance placement and secure multi-year protection. By using such products, we develop new relationships to meet our overall risk transfer needs for peak peril exposures.”
Chris Killourhy, incoming QBE Group Chief Financial Officer, said: “QBE Insurance Group is thrilled to complete its second issuance under the Bridge Street Re Catastrophe Bond program. This highly successful issuance diversifies our capital providers and further enhances our capital management strategy.”
The $400 million of notes have been priced to pay investors an initial risk interest spread of 7.75%, which aligns with the mid-point of the initial guidance provided.
The catastrophe bond was successfully closed on 29 December 2025. Aon Securities LLC acted as Sole Structuring Agent and Sole Bookrunner for the deal. Willkie Farr & Gallagher LLP acted as transaction counsel to QBE.
Jordan Brown, Managing Director, Aon Securities LLC, stated: “We are proud to have supported QBE on the recent indemnity cat bond issuance.
“We are pleased to see the ILS community participate in a novel transaction that provides investors with a globally diversified portfolio of well underwritten commercial property insurance risk. The ultimate execution is reflective of QBE’s reputation in the market as a leading commercial and specialty lines insurer, globally.”
You can read all about the Bridge Street Re Ltd. (Series 2025-2) catastrophe bond transaction and every other cat bond ever issued in our sister publication, Artemis’s Deal Directory.
