Kin, a Chicago-based home insurance company, has raised $335 million through a new catastrophe bond deal that priced well below the broader Florida storm-risk market.
The company said its Hestia Re Ltd. Series 2026-1 catastrophe bond priced 31% below the 2026 Florida and Gulf named storm market curve, based on data from Howden Capital Markets. The deal closed May 6 and included four tranches of notes.
Catastrophe bonds help insurers cover losses from major disasters such as hurricanes. Investors receive returns unless insured losses from storms exceed certain levels.
Kin’s latest deal also priced 43% below the traditional reinsurance market on a risk-adjusted basis compared with last year, according to Howden Capital Markets data.
The new issuance follows strong results from Kin’s previous catastrophe bond during Hurricane Ian. Data from Lane Financial LLC showed Kin’s Hestia Re 2022-1 bond posted an actual loss of just 2% as of Dec. 31, 2025.
Other catastrophe bonds exposed to Hurricane Ian performed far worse. Six comparable bonds recorded losses ranging from 13% to 100%, while two bonds issued by American Integrity suffered total losses despite having lower modeled risk than Kin’s bond.
The broader catastrophe bond market has continued to grow in 2026. Artemis reported $6.7 billion in catastrophe bond issuance during the first quarter.
Kin said the Hestia Re 2026-1 transaction attracted the largest group of institutional investors in the company’s history.
In a LinkedIn post, CEO Sean Harper said Kin’s catastrophe bonds have historically outperformed similar deals. He said the company’s reciprocal exchange structure helps lower reinsurance costs while allowing Kin to earn a fixed management fee without directly taking on underwriting risk.
Harper also noted that the $335 million Hestia Re Ltd Series transaction is Kin’s largest catastrophe bond issuance yet and marks their first expansion beyond Florida into additional states where they operate.
According to Kin’s February earnings release, the company reported a 20.7% adjusted loss ratio for 2025, a baseline operating margin of 49%, and revenue growth of 29% to $201.6 million.
Forbes Fintech 50 named Kin to its Fintech 50 list for the fourth straight year in 2026.
Kin’s insurance carriers hold an “A, Exceptional” financial strength rating from Demotech and work with more than 40 reinsurers, according to the company’s website.
Below is a table detailing various catastrophe bonds including those issued by Kin:
Hurricane Ian-Exposed Catastrophe Bond Performance Comparison
| Issuer | Bond | Spread at Issue | Modeled Expected Loss (EL) | Actual Loss * |
|---|---|---|---|---|
| Kin | Hestia Re 2022-1 | 10.08% | 1.97% | 2% |
| Fidelis | Herbie Re 2021-1 | 17.25% | 7.32% | 13% |
| American Integrity | Integrity Re 2022-1 | 7.07% | 1.37% | 82% |
| American Integrity | Integrity Re 2019-1 | 4.75% | 1.14% | 100% |
| USAA | Residential Re 2019-1 | 8.15% | 3.61% | 25% |
| American Integrity | Integrity Re II 2020-1 | 7.25% | 1.98% | 100% |
| Frontline | Astro Re 2021-1 | 8% | 2.90% | 25% |
