Updated
Updated · Artemis.bm · Jul 6
Catastrophe Bond Market Sets $17.56 Billion H1 Record as Outstanding Volume Reaches $65.6 Billion
Updated
Updated · Artemis.bm · Jul 6

Catastrophe Bond Market Sets $17.56 Billion H1 Record as Outstanding Volume Reaches $65.6 Billion

1 articles · Updated · Artemis.bm · Jul 6

Summary

  • $17.56 billion of catastrophe bonds were issued in H1 2026, setting a new half-year record as new supply again outpaced maturities and pushed the market to fresh highs.
  • Nearly $65.6 billion of cat bonds were outstanding at June 30, the largest end-of-quarter total on record, driven by growing use of cat bonds for reinsurance and strong investor demand.
  • May alone produced $6.93 billion of issuance, while 83 public and private transactions in the half beat the prior H1 record of 72 deals.
  • Twelve first-time sponsors entered the market in H1, topping 11 a year earlier, and indemnity-trigger structures accounted for 81% of risk capital issued versus 79% in H1 2025.
  • With the maturity wall easing in H2 2026 after a likely hurricane-season lull, market participants expect issuance growth to resume later this year.

Insights

Is the cat bond boom a sustainable solution to climate risk, or a financial bubble fueled by underestimated dangers?
With AI now pricing novel risks like data centers, is the market's rapid expansion creating unforeseen systemic vulnerabilities?