Fidelis Insurance Bermuda Limited (FIBL), a unit of Fidelis Insurance Group, has successfully issued a new catastrophe bond to provide its parent company with annual aggregate, industry loss-triggered protection against losses from earthquakes affecting the United States and the District of Columbia.
The new catastrophe bonds were placed through the Herbie Re program’s issuance of Series 2026-1 Class A principal variable rate notes.
The $75 million in Herbie Re Series 2026-1 notes will provide Fidelis Insurance Group with annual gross mortgage retrocession reinsurance protection over a nearly four-year term ending in 2029.
As our sister publication Artemis has widely reported, this marks the eighth series of notes released by Herbie Re.
More details can be found in Artemis’ catalog of cat bond and insurance-related securities transactions.
Aon Securities LLC is reported to be the exclusive structuring agent and exclusive bookrunner for the transaction, while Willkie Farr & Gallagher (UK) LLP is acting as legal advisor to Fidelis Insurance Group and Herbie Re.
Ian Houston, Chief Underwriting Officer of Fidelis Insurance Group, commented: “Building on the success of the Herbie Re catastrophe bond program, we are pleased to announce the latest bond issuance from Fidelis Insurance Group.
“Cat bonds remain a key element of our comprehensive capital management and external protection framework, providing significant capital efficiency and strong protection against severe events.
“This new issuance expands coverage across our portfolio to include business underwritten through the Fidelis Partnership and new underwriting partners, further strengthening our reinsurance protection, which also includes quota share agreements, excess loss treaties and industry loss guarantees.”