Ariel Re, the Bermudian‑based reinsurer, has issued its fifth Titania Re Ltd Series 2025‑1 catastrophe bond, this time with wildfire coverage for US and District of Columbia risks included for the first time. The bond size was upsized to $150 million, up from the original $125 million target after strong demand from the cat bond market, according to Artemis.bm.

Structured through Syndicate 1910 at Lloyd’s, and issued by Titania Re Ltd, the bond will provide four years of multi-peril retrocessional protection covering named storms, earthquakes and now wildfires, via two tranches.

The Class A tranche grew to $75 million (from $50 million), priced at a 6.25 per cent yield with a 2.25 per cent expected loss. The equally sized Class B tranche offers 16.25 per cent yield with a 6.35 per cent expected loss.

Earlier this year, the Bermuda Monetary Authority reported that Bermudian-based insurers and reinsurers expect to cover approximately 30 per cent of insured losses related to January’s record-setting California wildfires, around $10 billion.

Bermuda has previously established itself as a pioneer in catastrophe bonds, with Ariel Re issuing Titania Re bonds in 2021 and 2023, historically covering storm and earthquake risks, and at one point including a carbon offset feature. The inclusion of wildfire in Titania Re 2025‑1 marks another step, according to Artemis.

The bond is expected to settle on July 1, Artemis reported.