Olympus Insurance Company Enters the Catastrophe Bond Market With $120 Million Abacab Re Debut Transaction

The inaugural Series 2026-1 notes from Abacab Re Ltd. provide fully collateralized, three-year protection for Florida named storm risk.

JACKSONVILLE , FL, UNITED STATES, April 14, 2026 /EINPresswire.com/ -- Olympus Insurance Company, a leading Florida-based homeowners insurance specialist, today announced a highly successful debut in the catastrophe bond market, completing its first-ever issuance through the newly established Abacab Re Ltd. The $120 million catastrophe bond provides multi-year, capital markets-backed reinsurance protection against Florida named storms risk, reflecting a major expansion of Olympus’ risk transfer capabilities.

The transaction marks a landmark achievement for Olympus, validating its long-standing strategy of maintaining a highly resilient balance sheet and robust reinsurance protection, while demonstrating strong investor confidence in the company’s underwriting discipline, exposure management, and long-term vision. As a first-time sponsor, Olympus’ entrance into the catastrophic bond market was executed seamlessly, reinforcing its position as a sophisticated and forward-thinking participant in the reinsurance ecosystem.

“As a Florida-focused insurer with meaningful hurricane exposure, robust and reliable reinsurance protection is fundamental to everything we do,” says Tim Stroble, CEO of Olympus Insurance. “This transaction provides us with fully collateralized, multi-year protection and further diversifies our sources of capital, while continuing to strengthen our ability to withstand extreme events. We were particularly encouraged by the depth of engagement from investors, who took the time to understand how Olympus differentiates itself from other Florida carriers — an appreciation that was instrumental in driving strong demand and a successful upsize.”

Transaction Overview

The Bermuda-domiciled Abacab Re Ltd. was established to facilitate the issuance of catastrophe bonds. The $120 million Series 2026-1 Class A notes offered under Rule 144A provide Olympus with fully collateralized reinsurance coverage for named storms impacting the state of Florida on an indemnity, per-occurrence basis. The Series 2026-1 catastrophe bond provides a share of coverage within a larger reinsurance layer and complements Olympus’ existing traditional and statutory reinsurance protections.

Initially launched at $100 million in size, with a price guidance of 7.75% to 8.50%, Olympus’ inaugural catastrophe bond received strong investor demand, enabling the Series 2026-1 issuance to upsize by 20% to $120 million and price approximately 23% below the midpoint of initial pricing guidance at 6.25%. Lockton Re Capital Markets served as sole structuring agent and joint bookrunner and Gallager Securities served as joint bookrunner for the transaction. “It was our pleasure to guide Olympus through its inaugural cat bond issuance,” says Zach Breslin, Head of Lockton Re Capital Markets. “The widespread investor demand and strong execution of this transaction are a testament to Olympus’ track record and reputation, and Lockton Re Capital Markets is proud to have supported them in accessing new sources of capital to drive their business forward.”

“Our reputation in the global reinsurance market is exceptionally strong,” Stroble adds. “It’s driven by disciplined underwriting and consistent best-in-class claims handling, backed by the expertise of our Jacksonville operations team — all of which support our ability to access capital markets and enhance protection for Olympus policyholders.”

Strengthening an Already Conservative Reinsurance Program

Each year, Olympus works closely with its reinsurance partners to design a program that supports its long-term stability and policyholder obligations. Market conditions entering the 2026 renewal season have been notably favorable, with reinsurers posting strong results in 2025 for a third consecutive year and increased capital flowing into the sector.

Olympus is leveraging these positive market dynamics by both expanding protection and passing savings along to customers. The company began reducing rates in February and is evaluating further opportunities in 2026, while also increasing vertical protection well beyond the 1-in-130-year standard. Modeled results indicate that no storm in Florida’s recorded history — including the 1926 Great Miami Hurricane — would exhaust the company’s coverage. Olympus is also expanding sideways protection beyond rating agency requirements to ensure preparedness for third and fourth events, whether from additional hurricanes or severe convective storms.

About Olympus Insurance Company

With approximately 78,000 policies in force, Olympus Insurance has been a trusted source of comprehensive coverage and best-in-class service for Florida homeowners since 2007. The company is committed to providing strength, stability, and superior support to homeowners across the state. Built on a foundation of strong capital management and disciplined underwriting, Olympus partners closely with an extensive network of nearly 1,000 independent agents to offer comprehensive, coastal-focused products tailored to the unique needs of Florida property owners. With a relationship-centered approach, best in-class support, and a consistent track record of dependable performance, Olympus continues to set the standard for quality, responsiveness, and customer confidence. The company remains focused on empowering its agency partners and policyholders by offering reliable protection and an exceptional insurance experience. Olympus is part of the SageSure family of companies following SageSure’s acquisition of the insurer earlier this year. For more information, visit www.olympusinsurance.com.

Deborah Clouser, Dir. of Marketing, Brand & Communications
Olympus Insurance
+1 904-483-9002
dclouser@oigfl.com
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