Hannover Rück stock: USD 450m cat bond priced
Published on 11/02/2026 at 10:09 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSCat Bond And Results Ahead
- Hannover Re finalized a USD 450 million parametric earthquake protection structure through Acorn Re.
- The transaction grew from an initial USD 200 million target and carries a 2 percent risk spread.
- Hannover Re is scheduled to publish its quarterly statement for the period ended September 30 on November 9, 2026.
Hannover Re has finalized a USD 450 million catastrophe bond for U.S. West Coast earthquake risks, according to Artemis. The October 26, 2026 report said the Acorn Re Series 2026-1 Class A notes were priced after the offering was increased in stages from USD 200 million to USD 350 million and finally USD 450 million.
Acorn Re will issue the notes, with proceeds fully collateralizing a parametric reinsurance agreement. The structure protects the Kaiser Permanente captive Oak Tree Assurance and selected exposures Hannover Re has written for cedents. Coverage runs for three years on a per-occurrence basis, focusing on California and extending across the U.S. West Coast and neighboring states.
Capital Markets Add Protection
The notes carry an initial expected loss of 0.78 percent and were priced at an initial risk spread of 2 percent. Artemis said the final spread was at the low end of the original 2 percent to 2.25 percent guidance range. The transaction therefore adds catastrophe-risk capacity through capital markets alongside Hannover Re's traditional reinsurance and retrocession arrangements.
Artemis compared the issue with Acorn Re's 2025-1 transaction, which had an initial expected loss of 0.96 percent and a 2.35 percent spread. The 2026 notes have a 2.56-times spread-to-expected-loss multiple, versus 2.45 times for the earlier issue. The comparison suggests that the lower expected-loss profile shaped the pricing more than a broad change in market conditions, according to the specialist publication.
The company is scheduled to publish its quarterly statement for the period ended September 30 on Monday, November 9, 2026, according to Hannover Re's investor relations calendar. Hannover Re's 2026 guidance targets group net income of at least EUR 2.7 billion, subject to major claims and capital-market developments remaining within the stated assumptions.
Hannover Rück stock traded at EUR 290.60 on Lang & Schwarz at 10:02 a.m. CET on Monday, November 2, 2026, 0.21 percent above the Xetra close of Friday, October 30. Investors will next assess the third-quarter figures, claims experience, pricing conditions and whether the full-year earnings target remains supported.
For a live market view, see the real-time quote of Hannover Rück stock.
Hannover Re at a Glance
- Company: Hannover Re SE
- ISIN: DE0008402215
- Market: Xetra
- Lang & Schwarz price: EUR 290.60 at 10:02 a.m. CET on November 2, 2026
- Change versus Xetra close: 0.21 percent above EUR 290.00 on October 30, 2026
- 2026 net income target: At least EUR 2.7 billion
Broader market direction remains relevant for European insurers and reinsurers; see current DAX market coverage.
