TD Insurance (TDI) has successfully sponsored its second catastrophe bond, MMIFS Re Ltd. (Series 2026-1), which will provide additional reinsurance capacity through a multi-year risk transfer of C$115m aggregate protection against named storms, earthquakes, severe convective storms, winter storms, and wildfires in Canada.
The reinsurance from this cat bond will provide more protection for the aforementioned perils in Canada on an indemnity and annual aggregate basis, over a three-year term effective as of January 9th, 2026, through December 31st, 2028.
The proceeds are invested in CAD denominated European Bank for Reconstruction and Development (EBRD) notes, explained TDI.
This placement follows the closing of TDI placing its debut bond, MMIFS Re Ltd. (Series 2025-1), placed on January 25th, 2025.
This made the firm the first Canadian insurer to sponsor a bond focused solely on catastrophe risks in the country.
Read more on this cat bond and others issued on our sister publication, Artemis’ Deal Directory.
TDI was advised by joint bookrunners GC Securities, a division of MMC Securities, and TD Securities. GC Securities also served as the sole structuring agent.
James Russell, President and Chief Executive Officer (CEO), Senior Executive Vice President, TD Insurance, commented, “Natural disasters can have devastating impacts on Canadians, their families and entire communities. Protecting our clients in their moments of need is a responsibility we take very seriously.
“Through this second catastrophe bond, we’re able to help manage rising costs of these events to provide the most competitive pricing possible for our clients.”
Tim Wiggan, President and CEO, TD Securities, added, “We are proud to have served again as joint bookrunner on this second catastrophe bond to continue building resilience in communities against severe weather events.
“We remain at the forefront of leveraging our capital markets expertise in innovative ways to evolve with client needs and to ensure reliable protection is available when it is needed most.”
