Mitchell Rosenberg details the future of the cat bond market in The Insurer
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“Cat bonds are no longer an experiment and now sit at the heart of risk transfer strategy, which is the culmination of years of development.”
Mitchell Rosenberg, Managing Director and Co-Head of Global ILS at Howden Capital Markets & Advisory spoke with the Insurer about the future of cat bonds and their increased use in reinsurance.
Mitchell explains how cat bonds have become a core component of modern reinsurance strategies. With issuance growing from $35bn in 2020 to over $50bn in 2025, now representing 10% of the global reinsurance market, the message is clear: capital markets are reshaping how risk is transferred.
“We are seeing repeat sponsors who have been active for years, dormant sponsors who might have last issued several years ago and are now coming back into the market, and a new and exciting wave of first- time sponsors entering the space,” said Mitchell. “We also expect the cat bond market to continue expanding in both volume and diversity of product and structure. That evolution is going to bring in more investors and create new points of entry.”
As insurers seek more resilience in the face of climate volatility and capital dislocation, the opportunity is not just about scale. It's about smart integration of capital markets and reinsurance to unlock new capacity and partnerships.