Australia-based global insurance and reinsurer QBE has now successfully completed its latest cat bond issuance to secure a US$400 million international peak risk reinsurance issue by Bridge Street Re Ltd. (Series 2025-2).
This is Bridge Street Re’s second issuance of notes and will provide QBE and certain of the company’s underwriting subsidiaries with a $400 million source of reinsurance against losses from designated storms and earthquakes in the United States and earthquakes in Australia and New Zealand, on a per-occurrence and indemnity-triggered basis for a term of three years from January 1, 2026.
Peter Burton, QBE Group Chief Underwriting Officer, commented: “This transaction enables QBE to capitalize on the growing ILS market to complement our traditional reinsurance footprint and ensure multi-year protection. By using this type of product, we build new relationships to meet our overall risk transfer needs for peak risk exposures.”
Chris Killourhy, incoming QBE Group Chief Financial Officer, said: “QBE Insurance Group is pleased to complete the second issuance under the Bridge Street Re catastrophe bond program. This highly successful issuance further diversifies our capital providers and further enhances our capital management strategy.”
The $400 million notes were priced to pay investors an initial risk spread of 7.75%, which was in line with the midpoint of the initial guidance provided.
The catastrophe bond was successfully delivered on December 29, 2025. Aon Securities LLC acted as exclusive structuring agent and exclusive bookrunner for the transaction. Willkie Farr & Gallagher LLP acted as transaction advisor to QBE.
“We are proud to support QBE’s recent issuance of indemnity catastrophe bonds,” said Jordan Brown, managing director at Aon Securities LLC.
“We are pleased to see the ILS community engage in a novel transaction that provides investors with a globally diversified portfolio of well-underwritten commercial property insurance risks. The final execution reflects QBE’s reputation in the market as a leading global commercial and specialty lines insurer.”
You can read all about the Bridge Street Re Ltd. (Series 2025-2) cat bond deal and all other cat bonds ever issued in our sister publication Artemis’s Deal Directory.