US property/casualty insurer Great American Insurance Group, a subsidiary of financial services firm American Financial Group, is set to use the insurance linked securities (ILS) markets for the first time with a $95 million deal that will offer coverage of named storms, earthquakes, severe thunderstorms and winter storms.
RiverfrontRe is a Bermuda domiciled special purpose insurer that will provide Great American Insurance Group with almost three years of protraction against these perils.
Standard & Poor's Ratings Services, which has assigned a BB- preliminary rating to the notes said the coverage will be on a per-occurrence basis between an attachment point of $100 million and an exhaustion point of $200 million.