Kingstone Companies, the New York and northeast US focused insurer, has now successfully priced its debut catastrophe bond to provide a 25% upsized $125 million of named storm reinsurance protection, with the spread finalised in the lower-half of guidance, Artemis has learned.Kingstone Companies made its debut in the cat bond market for the first time in April, with what will now become the first Rule 144A catastrophe bond issuance to benefit the cedent sponsor Kingstone Insurance Company, which is the main underwriting entity of the holding company.Initially, Kingstone was looking to secure $100 million or more in named storm reinsurance protection across the main states the organisation operates in.the target size for this cat bond issuance had increased, with Kingstone Companies targeting between that initial $100 million and as much as $125 million of reinsurance.

In the same update, we also reported that the price guidance for this debut 1886 Re cat bond had been revised to a single target figure sitting in the lower-half of the original range.Now, sources have told us that the upper-target for $125 million in capital markets backed reinsurance has now been secured by Kingstone Companies, so an increase of 25% over the marketing of the deal, with its debut 1886 Re cat bond now priced within the lower-half of initial spread guidance.As a result, this 1886 Re 2025-1 catastrophe bond will provide named storm protection across New York, New Jersey, Connecticut, Massachusetts and Rhode Island on an indemnity trigger and per-occurrence basis, over four annual risk periods from July 1st 2025 to the end of June 2029.

The now confirmed to be $125 million of Series 2025-1 Class A notes that 1886 Re Ltd.is set to issue have an initial expected loss of 1.477%.The notes were initially offered to cat bond investors with price guidance in a range from 4.25% to 5%, which was later revised and ultimately finalised at 4.5%, placing the pricing within the lower-half of the initial spread range.

As a result, Kingstone Companies has joined the ranks of first-time catastrophe bond sponsors that have successfully upsized their debut deals, securing more reinsurance than initially targeted from the capital markets.As a reminder, you can read all about this new catastrophe bond and every other cat bond deal in the extensive Artemis Deal Directory..All of our Artemis Live insurance-linked securities (ILS), catastrophe bonds and reinsurance can be accessed online.

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