Liberty discloses $2.8bn of property cat reinsurance occurrence limit and $500mn aggregate cover

By Michael Loney

Jan 27 - (The Insurer) - Liberty Mutual has provided details of its reinsurance property catastrophe program, which includes $2.8bn of occurrence limit and $500m of aggregate protection.

Boston-based Liberty said that it typically provides an annual update of its property catastrophe program as part of its first-quarter earnings disclosure materials.

However, Liberty said “given recent and ongoing events” it disclosed some details of reinsurance in place for its domestic business as of 1 January 2025.

It has $2.8bn of occurrence limit excess $1bn retention with one reinstatement. The initial $1.5bn of this limit is available on an all perils basis.

The company also purchased an aggregate property catastrophe program this year to protect against frequency and severity of loss. This cover is $500mn excess $2.4bn aggregate retention, excess $100mn per event deductible.

This cover compares with the previous property catastrophe reinsurance cover.

According to its management’s discussion and analysis provide along with its Q3 2024 results, Liberty said that at that time it had hurricanes and earthquake reinsurance covering a substantial portion of $3.6bn of loss in excess of $1.0bn of retained loss in the US, Canada, and the Caribbean, excluding certain reinsurance exposures.

At that time, it also had per occurrence and aggregate excess of loss coverage targeting our reinsurance exposures, as well as quota share reinsurance programs.