Palomar Specialty Insurance Company (Palomar Specialty) announced that it has successfully completed a $17,500,000 surplus note issuance in a private placement to RenaissanceRe Ventures Ltd. (RenaissanceRe) and funds under management by a premier asset manager. Proceeds from this transaction will be used for general working capital purposes and will increase its policyholder surplus.
“Palomar Specialty is thrilled to partner with a premier asset manager and RenaissanceRe to enhance our surplus and claims paying ability through this surplus note issuance,” said Chief Executive Officer Mac Armstrong. “This investment not only bolsters our capital position but additionally it will further enable Palomar to execute on its long-term objective of becoming a market leading catastrophe insurer.”
Willis Capital Markets & Advisory acted as exclusive placement agent to Palomar Specialty in this transaction. Michelman & Robinson, LLP and Ropes & Gray LLP acted as legal counsel.
About Palomar Specialty Insurance Company
Palomar Specialty Insurance Company (www.PalomarSpecialty.com) is a recently established catastrophe insurer that has initially focused on writing residential earthquake insurance, commercial earthquake insurance and difference in conditions (“DIC”) in earthquake-exposed states including California, Oregon and Washington. In recent months, the company has expanded its licensure and is now an admitted carrier in 16 states. Palomar Specialty has an A.M. Best financial strength rating of “A-” (Excellent).