Heritage Insurance Holdings, Inc., a nationally expansive, Florida headquartered property and casualty insurer, has renewed reinsurance and catastrophe bond limit totalling $2.2 billion for 2026, with the firm’s CEO citing “substantial cost savings” and more multi-year protection.
At the mid-year 2025 renewals, Heritage secured almost $2.5 billion of limit, up 13% on the $2.194 billion renewed a year earlier. So, for 2026 total limit has declined, indicating a restructuring of sorts.
But the all-important first-event exhaustion points have all increased for Heritage, which for 2026 stand at $1.865 billion for the Southeast, $1.245 billion in the Northeast, and $1.00 billion for Hawaii (last year that was $1.6 billion, $1.1 billion and $865 million). Each of the towers can be supplemented by reinsurance through Heritage’s captive reinsurer affiliate Osprey Re as well.
The catastrophe excess-of-loss reinsurance program covers Heritage’s insurance subsidiaries, Heritage Property Casualty Insurance Company, Narragansett Bay Insurance Company, and Zephyr Insurance Company.
For 2026, Heritage will have $712 million of multi-year coverage, $550 million provided by its catastrophe bonds and $162 million through the private reinsurance market.
Recall that, Heritage recently secured $250 million of US named storm reinsurance from the Citrus Re Ltd. (Series 2026-1) cat bond sponsorship, which was the eleventh cat bond under the Citrus name from the company.
Ernie Garateix, CEO of Heritage, said on the reinsurance renewal, “I am very pleased to announce the successful completion of our 2026-2027 catastrophe excess of loss reinsurance program which demonstrates the strong commitment that we have from our reinsurance partners.
“In this year’s renewal, we placed over $2.2 billion of limit including two new catastrophe bonds. We placed more multi-year coverage this year and achieved substantial reinsurance cost savings while providing enhanced vertical protection for each of our insurance entities.
“I would like to thank our dedicated reinsurance partners who have supported our business through multiple catastrophic events over the last several years and look forward to their continued partnership as we work to prudently grow the Company.”
With reinsurance and cat bond pricing softened, Heritage has made a substantial $63.2 million saving on its reinsurance renewal this year, although it is not clear how the lower total limit placed factors into things.
In total, Heritage’s 2026 reinsurance renewal cost the company approximately $367.5 million, down on 2025’s approximately $430.7 million.
Heritage’s retention remains $50 million for the Southeast and Hawaii, respectively, and $38 million for the Northeast, with Osprey Re able to reduce this further in each case.
The insurer’s Florida Hurricane Catastrophe Fund participation was flat at 90.0% and again the company said the program is all indemnity reinsurance based, with no parametric covers featuring.
Read all of our reinsurance renewals news and analysis.
You can read about every catastrophe bond Heritage has ever sponsored in the Artemis Deal Directory, where you can filter the list by sponsor.
