The California Earthquake Authority (CEA) shrank its risk transfer tower through the January renewals, as its traditional reinsurance placements saw further contracts expire, resulting in its catastrophe bonds making up a larger share of the overall at now more than 31%.
When we last reported on the CEA’s risk transfer tower, made up of reinsurance and cat bonds, it totalled $7.99 billion as of Nov 1st 2024.
The risk transfer tower had sat at just over $9.15 billion of limit as recently as after the June 2024 reinsurance renewal period, but has been steadily shrinking since.
FULL ORIGINAL PUBLICATION HERE
