Wildfire

Regular cat bond sponsor USAA has raised an extra $100mn from its latest Residential Re offer to close at $300mn, in the first fourth-quarter bond to target US peak risk, Trading Risk understands.

ILS veteran USAA has closed its latest $400mn Residential Re issuance, taking total cat bond volumes at the official start of the 2010 US hurricane season today (1 June) to $2.4bn. 

USAA is looking to place $500mn of risk into the capital markets through its 2010 Residential Re transaction.The mammoth placement will come as good news to investors, particularly as the US insurer will be ceding diversifying perils of wildfire, winter storm and severe thunderstorm alongside the peak perils.

US insurer Chubb Group has launched a $200mn Cayman Island-based catastrophe bond, East Lane II Ltd, giving it multi-peril cover in North America. The indemnity bond will cover Chubb and its subsid