RiskEvents

Developing event. Generated by AI and subject to further corroboration and review.

DevelopingMedium impactAI Generated

Gothaer Debuts €100m German Flood Cat Bond via Yardstick Re

Occurred 4 Jun 2026·Detected 4 Jun 2026·
🇩🇪 German flood risk (nationwide, with concentration in Nordrhein-Westfalen); SPV domiciled in Ireland2 reports
Natural CatastrophePropertyReinsurance

German insurer Gothaer Allgemeine Versicherungs AG is sponsoring its debut catastrophe bond, Yardstick Re DAC Series 2026-1, targeting €100 million in reinsurance limit for German flood events over four years. The transaction is notable as one of the first standalone German flood cat bonds and one of very few flood-only cat bonds globally, structured on an indemnity/per-occurrence basis attaching at €1.25 billion of losses. This is a direct reinsurance market transaction with confirmed cat bond issuance, investor placement, and Moody's rating, carrying clear implications for reinsurance pricing and capacity in European flood.

AI-generated from linked source reports. See our correction policy.

Impact verdict

Medium impact. Loss pathway: Confirmed cat bond issuance transferring €100 million of German flood reinsurance risk to capital markets, with direct implications for reinsurance capacity, retrocession, and cat bond pricing for European flood. Evidence: Named sponsor (Gothaer, €2.8bn GWP), confirmed attachment/exhaustion levels (€1.25bn–€1.35bn), Moody's Baa2(sf) rating, four-year indemnity cover — a concrete reinsurance market transaction. Limit: €100 million cat bond tranche; attachment is remote (0.22% annual probability), limiting immediate claims relevance, but the deal is market-notable for reinsurance underwriters and cat bond investors monitoring European flood capacity and pricing.

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How we grade what we know -- Known · Reported · Uncertain. Methodology →

Intelligence ledger

Each line expands in place to its underlying sourced claim.

Known11 lines

Gothaer Allgemeine Versicherungs AG is sponsoring its debut cat bond via Yardstick Re DAC (Series 2026-1), targeting €100 million minimum▾
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No separate sourced-claim record is available for this line yet.
SPV established in Ireland as a designated activity company (multi-arrangement)▾
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No separate sourced-claim record is available for this line yet.
Coverage is for four years, indemnity trigger, per-occurrence basis for German flood events▾
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Attachment point: €1.25 billion (1-in-448-year return period, 0.22% annual attachment probability)▾
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Exhaustion point: €1.35 billion▾
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Initial expected loss: 0.19-0.21%▾
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Risk interest spread guidance: 2% (no range offered)▾
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Moody's Ratings anticipates a Baa2 (sf) rating — rare for a nat-cat bond▾
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Gothaer reported over €2.8 billion in GWP in 2025 and a Solvency II SCR coverage ratio of 181%▾
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Storm Bernd (2021) generated approximately €590 million in gross claims losses across BarmeniaGothaer Group▾
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Approximately 52% of modelled expected loss concentrated in Nordrhein-Westfalen▾
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Reported3 lines

Transaction is described as the first cat bond solely focused on flood risk in Germany▾
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Attachment level is more than double Gothaer's losses in Storm Bernd 2021▾
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Approximately 8.5% of net limit situated in CRESTA zones with coastal exposure, not modelled by Moody's RMS flood model▾
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Uncertain4 lines

Final issuance size — currently targeted at €100 million but could increase▾
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No separate sourced-claim record is available for this line yet.
Final pricing — spread guidance at 2% but no range disclosed▾
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No separate sourced-claim record is available for this line yet.
Timing of deal close and notes settlement▾
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Whether coastal flood exclusions in German property policies materially affect covered exposure▾
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No separate sourced-claim record is available for this line yet.

Affected countries

🇩🇪 Germany🇮🇪 Ireland

Timeline

Status Change5 Jun 2026, 16:24

Status changed to developing

evidence_trigger: corroboration >= 2

signal → developing

Corroboration5 Jun 2026, 16:24

German insurer Gothaer Allgemeine Versicherung has sponsored its first catastrophe bond, raising €100 million in per-occurrence indemnity flood reinsurance protection covering Germany over four years. The transaction marks Gothaer's debut in the ILS market and signals continued appetite for German flood risk capital market solutions. This is directly relevant to reinsurance and ILS market participants tracking European nat-cat capacity and pricing.

Source: The Insurer (Trade Media) · View source

Initial Detection4 Jun 2026, 08:38

Initial Detection

German insurer Gothaer Allgemeine Versicherungs AG is sponsoring its debut catastrophe bond, Yardstick Re DAC Series 2026-1, targeting €100 million in reinsurance limit for German flood events over four years. The transaction is notable as one of the first standalone German flood cat bonds and one of very few flood-only cat bonds globally, structured on an indemnity/per-occurrence basis attaching at €1.25 billion of losses. This is a direct reinsurance market transaction with confirmed cat bond issuance, investor placement, and Moody's rating, carrying clear implications for reinsurance pricing and capacity in European flood.

The attachment level is more than double the insurers' reported losses incurred in the most severe German flood recorded – Bernd in 2021. The Ceding Insurer reported over €2.8 billion in gross written premium in 2025, and maintained a Solvency II SCR coverage ratio of 181%.

Source: Artemis.bm (Trade Media) · View source

Lloyd's classifications

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