Amlin places $200m cat bond

Amlin has completed a $200 million four year deal that will provide it with reinsurance coverage for US named storm, US earthquake and European windstorm perils.

Tramline Re II is a Bermuda-based special purpose insurer that will place a $200 million catastrophe bond for the company.

The deal gives Amlin fully collateralised protection for a four-year period starting January 1, 2015. The coverage attaches on an index loss basis equivalent to $500 million.

Amlin said the deal was in addition to coverage it purchases in the traditional reinsurance markets and replaces a previous Tramline Re coverage which was placed in 2010 and expires on December 31.

“The protection provided by this bond will complement the cover provided by our traditional reinsurance program and Amlin’s existing four-year earthquake catastrophe bond which incepted on July 1, 2013,” Charles Philipps, CEO of Amlin, said in a statement.

The transaction was structured by Aon Benfield Securities.