Bamboo Insurance Services has cut the risk retention participation of its captive reinsurer in its largest programme to zero, and its redomestication to Bermuda from Arizona remains incomplete, according to the registration statement it filed with the US Securities and Exchange Commission ahead of an initial public offering. The company reduced the captive’s participation in that programme from 12.5 per cent of premium to 2.5 per cent on 1 April 2025, and from 2.5 per cent to zero on 1 April 2026. It says it plans to maintain nominal risk retention while continuing to use the captive to drive alignment with its capacity providers and support growth in new markets. The captive, Ide8 Re, assumes risk on a quota share basis in business the company underwrites. It redomiciled to Arizona as a protected cell captive in the fourth quarter of 2024 and is regulated by the Arizona Department of Insurance and Financial Institutions. The filing, made on 28 August, describes the redomestication as in process and not yet complete, and says it will not have a material impact on the captive or the company’s operations. As of 30 June 2026, the captive had statutory surplus of US$31 million, excess surplus of US$27 million and maximum loss exposure of US$2 million to any single catastrophe event. Bamboo operates it at near-breakeven profitability, including self-funded protection against catastrophe events. Where the captive participates in a programme, it does so on the same economic terms as the other quota share reinsurers, and the programme partner contracts with it in the same manner as with third-party reinsurers. Bamboo is a homeowners insurance managing general underwriter operating in California and Texas, and reports in two segments: its managing general underwriter business, and the captive, which it says captures minimal and selective risk retention. The company also draws on proprietary sources of capacity, including the Greenshoots Re sidecar and the Greengrove Re catastrophe bond, capitalised with third-party funds of US$400 million and US$100 million respectively. It describes the latter as the first brush-specific catastrophe bond. As of 30 June 2026 its programmes were supported by seven programme partners, 60 global reinsurers and 28 institutional investors. The company intends to apply to list its Class A common stock on the New York Stock Exchange under the symbol BMB, subject to approval of the application. It is controlled by funds advised by CVC Capital Partners, with White Mountains Insurance Group retaining an indirect minority position.
