The latest from SageSure in the USA;
SageSure, one of the largest managing general underwriters focused on catastrophe-exposed markets, and SureChoice Underwriters Reciprocal Exchange (“SURE”), a policyholder-owned reciprocal exchange, today announced the close of the Gateway Re Series 2025-1 catastrophe bond at $520 million, the franchise’s largest issuance to date.
At a nearly 27 percent upsize from its initial $410 million target, the ninth issuance in the Gateway Re series achieved pricing approximately 10% lower than the midpoint of its initial target, signaling strong investor appetite.
After first entering the insurance-linked securities (ILS) market in 2022, SageSure has since become one of the top primary cat bond sponsors in the US. With the close of this transaction, the SageSure-supported Gateway Re franchise has secured more than $1.7 billion in cumulative notional limit to date.
“SageSure is proud to support its carrier partners in securing the largest catastrophe bond in the history of the Gateway Re series,” said Terrence McLean, President and CEO of SageSure. “We are grateful for the continued investor confidence in our programs, which enables underwriting capacity where producers and policyholders need it most.”
The Gateway Re 2025-1 issuance is the first in the series to combine first event limit in the first three tranches and second event limit in the other two tranches. All five classes of notes will provide SageSure’s carrier partners SURE and SafeChoice Insurance Company with US named storm reinsurance protection.
“We are excited to see the ILS community’s support for the Gateway Re series,” said Ed Konar, President of SURE. “This diversified reinsurance protection positions SURE to operate in challenging markets and deliver more solutions to coastal property owners.”
Swiss Re Capital Markets acted as the sole structuring agent and bookrunner for the Gateway Re 2025-1 issuance.
“We are proud to collaborate with SageSure and SURE on the successful ninth issuance of the Gateway Re vehicles,” said Jean-Louis Monnier, CEO of Swiss Re Capital Markets. “The superior execution of this transaction in both price and size is a testament to the strength of SageSure’s ILS franchise.”
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