Willis Re Securities Completes €120 Million Catastrophe Bond for France’s Covéa Mutual

Willis Re Securities reports it has structured and placed EUR 120 million of insurance-linked securities (ILS) to provide reinsurance capacity for Covéa Mutual Insurance Group, France’s largest domestic property/casualty insurance group.

The transaction was executed in collaboration with Willis Towers Watson’s traditional reinsurance broking business, Willis Re.

Hexagon II Reinsurance DAC, which settled 5 November, provides Covéa with a single €120 million tranche of protection against windstorm and other weather-related events in France for a four-year period. The structure features an indemnity trigger on a per occurrence basis with terms mirroring the traditional reinsurance placement, to ensure effective integration within the overall property catastrophe reinsurance program.

Quentin Perrot, head of Sales International at Willis Re Securities, said Hexagon II Re is the first non-U.S. cat bond transaction issued in the past nine months.