Arch Capital sidecar issues new preferred shares
Arch Capital, a Bermuda-based insurance and reinsurance specialist, has issued 10,760 Series 2026-9 preferred shares through its Voussoir Re sidecar, a special purpose insurance vehicle. The shares, which have a nominal par value of $0.01, were listed on the Bermuda Stock Exchange (BSX) as insurance-linked securities.
The Voussoir Re platform was established in 2019 and has been used as a quota share sidecar, as well as for collateralized reinsurance arrangements and the issuance of insurance-linked notes to investors. It has become a key third-party capital structure for Arch Capital, with multiple share issuances each year.
Voussoir Re’s role has evolved over time, from a straight quota share reinsurance sidecar platform to a conduit connecting investors and risk in various formats. This includes channeling risk opportunities into fund-like strategies, making it easier for investors to access the returns of Arch Capital’s underwriting.
The last preferred share issuance from Voussoir Re was in April, when 1,000 Series 2026-3 preferred shares were issued. The latest issuance of 10,760 Series 2026-9 preferred shares will likely be used as investment instruments to enable third-party capital providers to allocate to certain reinsurance business underwritten by Arch Capital.
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The 10,760 Series 2026-9 preferred shares were issued using a segregated account, Voussoir Re 2026-9, and have been privately placed with qualified investors. Artex Corporate Services (Bermuda) Ltd. acted as the listing sponsor for the shares on the BSX.
Arch Capital continues to play an important role as a partner and facilitator for investors looking to benefit from access to the returns of its underwriting in a direct manner, through insurance-linked securities structures. Voussoir Re remains a core component of this platform, demonstrating the company’s commitment to third-party capital activities.
As Arch Capital reported a 27% reduction in net property catastrophe reinsurance premiums for the first-half of 2026, its senior executives noted higher cessions to reinsurance and third-party capital providers.
Arch Capital’s use of the Voussoir Re sidecar is just one example of its third-party capital activities. The company has established itself as a leader in this area, providing investors with access to the returns of its underwriting through various insurance-linked securities structures.
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In the middle of this year, investment manager Eaton Vance, part of Morgan Stanley Investment Management, allocated to a reinsurance sidecar strategy through the Voussoir Re structure.
Arch Capital will continue to utilize the Voussoir Re sidecar to access third-party capital, given the success of this structure in recent years. As the reinsurance market continues to evolve, the company’s ability to adapt and provide innovative solutions to investors will be key to its ongoing success.
With the latest issuance of preferred shares, Arch Capital has once again demonstrated its commitment to third-party capital activities. The company’s use of the Voussoir Re sidecar has provided investors with a unique opportunity to access the returns of its underwriting.
Find details of numerous reinsurance sidecar investments and transactions in our directory of collateralized reinsurance sidecars transactions.
