Inigo Insurance is now seeking lower pricing across two tranches of its latest catastrophe bond but the guidance for an aggregate tranche of notes has moved a little higher, while the target is still to make this its largest cat bond yet as the $255 million goal remains for the issuance, Artemis has learned.Inigo, the London headquartered specialty insurance and reinsurance underwriter, ventured back to the catastrophe bond market in November, with a transaction that from the off is set to become the largest 144A cat bond it has sponsored at $255 million in size, while also bringing a new peril to its program of deals, in Australian earthquake risk.As well as expanding the range of perils its catastrophe bonds cover for the firm, Inigo is now strategically layering catastrophe bonds within its protection, layering additional multi-year retrocessional reinsurance from the capital markets with this new deal.Inigo currently has $325 million of collateralized retrocessional reinsurance from the capital markets through its .

A $110 million cat bond will mature in April 2026, so this new cat bond will grow Inigo’s cat bond protection to $470 million after that maturity, it now seems.This latest Montoya Re 2025-2 catastrophe bond remains set to provide Inigo with $255 million of retrocessional reinsurance coverage for the peak perils of U.S.named storms, U.S.

and Canada earthquakes and Australian earthquake risks, all on an industry loss trigger basis.We’re now told that the price guidance has been adjusted in all three cases for each of the tranches of notes that Montoya Re is offering to investors.Perhaps encouragingly, there is a growing signal that we’ve noted in a number of recent cat bond deals, for price declines to slow or stall in certain cases.

Particularly this is being seen in frequency risk or aggregate tranches, as well as higher risk layers of certain cat bonds.That emerging trend continues with Inigo’s new deal, reflecting what appears to be investor discipline and demand for a minimum level of return for certain risks, as well perhaps as the market becoming steadily more balanced as issuance grows with less excess cash available to deploy.A still $175 million tranche of Class A notes will provide Inigo with annual aggregate protection on an industry loss trigger basis for U.S.

named storms and U.S.and Canada earthquakes and have an initial expected loss of 2.26%.These notes were first offered to investors with price guidance in a range from 4.75% to 5.5%, but we understand that has now been revised to 5.25% which is actually slightly above the mid-point, something that has been rarely seen in recent weeks.

A still $50 million tranche of Class B notes will provide annual aggregate protection on an industry loss trigger basis for U.S.named storms, U.S.and Canada earthquakes and Australian earthquakes, and have an initial expected loss of 7.19%.

These notes were first offered to investors with price guidance in a range from 12.75% to 13.5%, which has now been revised to a new lower range of 12.25% to 12.75%.A still $30 million tranche of Class C notes will provide second and subsequent event cover on an occurrence and industry loss trigger basis for U.S.named storms and U.S.

and Canada earthquakes and have an initial expected loss of 2.38%.These notes were first offered to investors with price guidance in a range from 5.75% to 6.75%, which has now been revised to the low-end of guidance at 5.75%, we are told.The way pricing has moved slightly above guidance for the aggregate tranche of notes indicates investor’s remain disciplined on frequency exposures, while also perhaps showing there is a baseline for pricing for annual aggregate exposures, as is also being seen for certain risks at higher expected loss levels in the cat bond market.

It is also worth noting though, that this Montoya Re deal for Inigo did initially come to market with pricing that was well-aligned with the price trends being seen in catastrophe bonds, so perhaps had less room for movement than some other offerings of recent weeks.For Inigo though, this remains its largest cat bond yet and will secure the company broad catastrophe retro reinsurance cover at attractive pricing that largely falls below the guidance mid-points, except for that aggregate layer.You can read all about this new catastrophe bond, the second from Inigo Insurance, as wel as details on every other cat bond issued in our extensive Artemis Deal Directory..

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