Primary mutual insurer USAA continues to work through the reinsurance implications of a range of loss events to its catastrophe bond program, with the latest development being a return of some principal from the Espada Reinsurance Limited (Series 2016-1) to investors.
USAA’s Espada Re catastrophe bond was issued in 2016, providing the carrier with multi-year and peril reinsurance protection from the capital markets.
It is the only cat bond issuance sponsored by USAA not to have used the Residential Re nomenclature.