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Progressive renews $2.19bn Florida cat reinsurance tower
The renewed per-occurrence excess-of-loss program sets a $300.0 million retention outside Florida and $75.0 million for first events in Florida, with second-event coverage based on where losses occur.
US insurer Progressive has renewed its per-occurrence property catastrophe excess-of-loss reinsurance program effective June 1, providing $2.19 billion of limits for first events affecting Florida and $1.85 billion for first events impacting other states, according to Artemis.
Artemis reports the renewed tower is similar in size to Progressive’s mid-year 2025 renewal at around $2.2 billion. The program also sits within Progressive’s broader 2026 reinsurance arrangements that include catastrophe bond protection, with $400 million of outstanding Bonanza Re catastrophe bond protection tied to 2026.
At the June 1 renewals, Progressive’s per-occurrence XoL tower includes a $300.0 million retention for first events outside Florida and a $75.0 million retention for first events in Florida, with second and subsequent event coverage depending on the location and extent of covered losses during the annual risk period.
Artemis says the tower provides $225.0 million of Florida-only XoL coverage after the $75.0 million retention and after participation from the Florida Hurricane Catastrophe Fund, with the FHCF component providing $112.6 million above a $71.7 million retention. The reinsurance structure also includes $275.0 million of coverage from the 2024 Bonanza Re issuance, while $125.0 million of protection from the 2025 issuance is positioned in the aggregate XoL reinsurance tower.