The California Earthquake Authority (CEA) has returned to the catastrophe bond market to sponsor its first issuance since late 2023, seeking $200 million or more in multi-year collateralized California earthquake reinsurance protection from the capital markets through this Ursa Re Ltd. (Series 2025-1) issuance.
The CEA last sponsored a catastrophe bond in December 2023 and in that year alone the earthquake insurer had secured over $1.5 billion of cat bond backed reinsurance from the capital markets.
But, since then with the CEA’s exposure base having declined, so has its need for reinsurance, which resulted in a shrinking of its risk transfer tower, as we’ve reported.
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