Hurricane

This was up from the $623mn figure reported in its Q2 2018 results.

The firm said its maximum no-loss return was 30 percent, up from 23 percent in 2018.

The bond’s spread was confirmed at 4.25 percent, at the top end of estimates.

Florida Specialty, which has ceded 100 percent of its risk to Sirus America Insurance Company, was among those affirmed.

The target coupon on the deal has moved to the upper end of forecasts.

The insurer also dropped attachment points on its covers after cutting back its gross limits.

Florida insurers can benefit from outsourcing risk to reinsurers, but their ability to absorb excess losses from major hurricanes is a risk factor.

The return is the second-worst on record.

Basic fee income was up year on year, although 2017 losses meant it made no profit commission.

The loss tally for catastrophe bonds impacted by the 2017 disaster events has now climbed to $1.1bn, according to January pricing sheets.

Cat bond prices in the secondary market have begun recovering following a pre-Christmas sell-off, as investors sought to release capital ahead of the renewal, brokers said.

The cat bond market is set to shrink temporarily as 2019 issuance to date has been overshadowed by the $1.85bn of cat bonds maturing in the first quarter of this year.