SageSure, Anchor Re, and SURE Close $60 Million County-Weighted Wind Cover Catastrophe Bond
10 Julio 2024 - 6:00AM
Business Wire
Issuance brings the SageSure-supported Gateway Re franchise to
$1.2 billion in cat bond limit in two years.
SageSure, one of the largest managing general underwriters
focused on catastrophe-exposed markets, Anchor Re, a captive
reinsurance vehicle, and SureChoice Underwriters Reciprocal
Exchange (“SURE”), a policyholder-owned reciprocal exchange, today
announced the close of the Gateway Re 2024-4 county-weighted wind
cover catastrophe bond at $60 million, a 20% upsize from the
original $50 million target.
The eighth transaction in the Gateway Re series, the latest
issuance brings SageSure-supported risk capital for underwriting
partners to $1.2 billion in slightly over two years.
“The structure of this catastrophe bond provides essential
protection if more than one hurricane impacts our portfolio this
hurricane season,” said Travis Lewis, Director of Anchor Re. “We’re
grateful to the ILS investor community for its continued support,
which enables Anchor Re to efficiently deploy capital and capacity
for SageSure’s underwriting partners’ reinsurance programs.”
Like the Gateway Re 2023-3 catastrophe bond secured a year ago,
this issuance also uses a Property Claim Services (PCS)
county-weighted catastrophe loss reporting trigger, a feature that
has only been used by this franchise to cover multiple states.
Unlike the previous catastrophe bond that provided three-year
county-weighted wind cover, the latest transaction is designed to
provide retrocessional reinsurance protection solely across the
current hurricane season through the end of 2024.
Anchor Re, SURE, and Elevate Reciprocal Exchange (Elevate) are
named as cedents, and the coverage will protect against a series of
qualifying named storm events in Alabama, North and South Carolina,
Louisiana, Mississippi, Texas, Virginia, and New York.
“SageSure continues to find the ILS market to be a sophisticated
and efficient source of risk capital to support our underwriting
partners,” said Terrence McLean, President and CEO of SageSure. “We
are grateful for the confidence in our programs we’ve seen over the
last two years.”
The issuance marks SURE’s third successful transaction completed
through the global insurance-linked securities (ILS) market this
year, following the recently closed $130 million Gateway Re Series
2024-2 catastrophe bond.
Swiss Re Capital Markets again served as the sole structuring
agent and bookrunner for the issuance.
“Swiss Re Capital Markets is proud to have secured this second
and subsequent event cover for SageSure,” said Jean-Louis Monnier,
CEO of Swiss Re Capital Markets. “This eighth successful issuance
under the Gateway program is a remarkable feat considering that
SageSure has now secured $1.2 billion of cumulative notional limit
in catastrophe bonds in just over 2 years. The 2024 transaction
will provide valuable sideways coverage through county-weighted
industry loss indices for Anchor Re, as well as SURE and
Elevate.”
About Anchor Re
Founded in 2020, Anchor Re is an Arizona-domiciled captive
reinsurer that provides scalable capacity exclusively for
SageSure’s carrier partners.
About SURE
SURE is the member-owned insurance company for reliable coastal
property protection. Founded in 2021, SURE is managed by a team of
experienced and passionate insurance leaders who believe in
building a safer world, one coastal property at a time. With more
than 240,000 policyholders and more than $725 million of inforce
premium to date, SURE has grown rapidly to meet the needs of
challenging markets while prudently managing exposure. As the first
Texas-domiciled reciprocal since 2004, SURE is customer-focused by
design and offers homeowners, dwelling fire, flood, and commercial
coverage through an exclusive partnership with SageSure. SURE is
rated A, Exceptional, by Demotech, Inc. and is currently available
in Alabama, California, Florida, Louisiana, Mississippi, North
Carolina, South Carolina, and Texas. To learn more, visit
sureins.com.
About SageSure
SageSure is the managing general agent specializing in coastal
residential and commercial property insurance. SageSure offers more
than 50 competitively priced insurance products in 14 coastal
states on behalf of its carrier partners, serves more than 600,000
policyholders, and has more than $1.8 billion of inforce premium.
Since its launch in 2009, SageSure has been pioneering property
insurance through its market-leading online quoting and binding
platform and its sophisticated risk modeling and scoring
technology. For more information, visit sagesure.com.
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Walker Sands sagesure@walkersands.com