American Integrity’s new $565m cat bond reflects ILS investor confidence in Florida: CEO

With American Integrity Insurance Company securing its largest catastrophe bond to date, the $565 million Integrity Re III Ltd. (Series 2025-1), CEO Robert Ritchie stated that the issuance reflects the strong confidence and enthusiasm of insurance-linked securities (ILS) investors for the Florida market.

In late February, American Integrity Insurance Company successfully upsized its new Integrity Re III Ltd. (Series 2025-1) cat bond to provide $565 million of fully-collateralized US named storm reinsurance across southeast states, while the notes all priced below their initial guidance too.

As we reported at the time, the issuance was initially set to feature seven separate tranches of notes, but the riskiest Class E layer was removed from the issuance, while the target for the remaining six tranches of notes was raised to $550 million of collateralized catastrophe reinsurance for the insurer.

However, we then later learned, that the $550 million target size remained, but there had been some adjustments made to the sizes of certain tranches, while all six saw their price guidance lowered further.

Then, just last week, we reported that there was a last-minute upsizing for one of the tranches of notes, which managed to take the final issuance size to $565 million, making this by far American Integrity’s largest, while the pricing was finalised at the bottom-ends of reduced guidance for all six tranches of notes.

Commenting on the completion of the largest cat bond ever sponsored by his company, CEO Ritchie said: “We are thrilled to announce that American Integrity Insurance Company has successfully secured $565 million through our latest catastrophe bond, Integrity Re III Ltd. (Series 2025-1).

“This achievement not only marks our largest cat bond issuance to date but also reflects the robust confidence and enthusiasm of Insurance-Linked Securities (ILS) investors in the Florida market.”

Ritchie went on to say that: “The overwhelming support from the ILS community has enabled us to upsize the offering from an initial target of $325 million to $565 million, with all tranches pricing below initial guidance.

“This strong demand underscores the positive sentiment towards Florida’s insurance landscape and signals downward pressure on reinsurance rates as we approach the June 1 renewals.”

He concluded: “We extend our heartfelt gratitude to our investors and partners for their unwavering support. Together, we are fortifying the resilience of Florida’s insurance market and paving the way for a more secure future.”

Details of every cat bond from American Integrity Insurance can be found in our Deal Directory

You can read all about this new Integrity Re III Ltd. (Series 2025-1) catastrophe bond and every cat bond deal in the Artemis Deal Directory.