Achmea Reinsurance Company NV has returned to the insurance-linked securities (ILS) market with the issuance of €100 million of Windmill III Re Series 2026-1 catastrophe bonds, which provide protection against European storm and severe thunderstorm losses on a final net loss basis per occurrence.
Achmea Reinsurance has entered into a four-year reinsurance agreement with Windmill III Re DAC, an Irish-registered multi-arrangement special purpose vehicle, to provide pay-per-view retrocession coverage for losses incurred by its non-life insurers Achmea Schadeverzekeringen NV and NV Hagelunie.
Windmill III Re DAC has issued €100 million of Series 2026-1 notes to fund its obligations to Achmea Reinsurance under a reinsurance agreement.
The transaction is the fifth sponsored cat bond issued by Achmea Reinsurance and the third jumbo bond issued pursuant to Rule 144A of the U.S. Securities Act.
It forms part of Achmea Reinsurance’s overall catastrophe reinsurance purchases, diversifying its sources of catastrophe coverage and providing multi-year coverage from July 1, 2026 to June 30, 2030.
The size of the transaction was expanded from the initially announced €75 million, and the notes were priced at a spread of 3.75%, which was lower than the initial spread guidance.
Gallagher Securities served as the exclusive structuring agent and bookrunner for the transaction.
To learn more details about Windmill III Re Series 2026-1 or other cat bonds, please visit our sister publication Artemis’ Deal Directory.
Ewoud Bom, Managing Director of Achmea Reinsurance, said: “This Windmill III Re Series 2026-1 issuance is a continuation of our strategy to diversify our global reinsurance capabilities and expand and strengthen our relationships with capital market investors. We believe that the strategy of transferring part of the risk to the capital markets can achieve mutual benefits, which is also confirmed by the favorable reception by investors for the fifth issuance.”
