Capital Strategy

Re's Capital Strategy for Insurance Risk

Learn more in the docs

Re operates a reinsurance system where insurers pay premiums to transfer risk, which are pooled across many independent exposures. In most years, claims are lower than the premiums collected, generating yield for depositors, while reserves are maintained to absorb losses in years when claims are higher than expected.

This dashboard is designed to show, in one place, how capital is allocated, how reserves protect the system, and how performance has evolved over time. Each section builds on the one above it, moving from structure to protection to outcomes.

Key Metrics

Total Capital Deployed
$847.2M
+12.4% vs last month
Active Treaties
24
+3 this quarter
Combined Ratio
87.2%
Below target (95%)
Reserve Ratio
142%
Fully collateralized
Capital Structure

Risk-remote by design

How to read this diagram

The combined ratio measures insurance profitability: claims + expenses as a percentage of premiums collected. Below 100% = profitable. Above 100% = losing money.

Each layer in our capital stack has a threshold (shown on the right). If the combined ratio exceeds a threshold, that layer begins absorbing losses. For example, at a 135% combined ratio, losses would have consumed all lower layers and only then would reUSD holders see any impairment — an event with just 0.03% probability.

Try the stress test below to see how different scenarios would affect each layer. Our current 92% ratio means we're profitable with substantial buffers protecting depositors.

reUSD
0.03%
Impairment Risk
Senior tranche · Principal-protected
135%
reUSDe
0.9%
Impairment Risk
Junior tranche
115%
Re Capital
3.9%
Impairment Risk
Ancillary capital buffer
110%
100% Breakeven
Reinsurance Premium
First line of defense

Stress Test Simulator

92 % combined ratio
50%
100%
110%
115%
135%
150%
✓
Profitable — All layers protected

At 92%, Re is profitable. Premium income exceeds claims and expenses. All capital layers remain untouched, and both reUSD and reUSDe holders are fully protected with substantial safety margins.

✓ reUSD ✓ reUSDe ✓ Re Capital

2024 Combined Ratios by Line

Workers' Comp
86%
Homeowners (non-cat)
91%
Re
92%
P&C Industry Avg
97%
Homeowners (all)
100%
Commercial Auto
107%
Cat-Exposed Homeowners
115%
General Liability
120%
CA Wildfire (FAIR Plan)
150%+
NFIP Flood (2024)
200%+
Click any row to simulate that scenario

Redemption Reserves

Reserve Balances by Chain

Funds available for immediate redemption across all supported networks

Chain Custody Type Contract Balance Total
E
Ethereum
Custodial $42,038,917.07 $42,038,917.07
A
Avalanche
Custodial $96,359.73 $96,359.73
B
Base
Custodial $182,910.69 $182,910.69
A
Arbitrum
Custodial $999.68 $999.68
E
Ethereum
Custodial
Total $42,038,917.07
A
Avalanche
Custodial
Total $96,359.73
B
Base
Custodial
Total $182,910.69
A
Arbitrum
Custodial
Total $999.68
Total Redemption Reserves $42,319,187.17

Capital Allocation

Property Catastrophe
Natural disaster coverage
45%
Capital Deployed $381.2M
Expected Loss Ratio 62%
Active Treaties 12
Specialty Lines
Marine, aviation, cyber
30%
Capital Deployed $254.2M
Expected Loss Ratio 58%
Active Treaties 8
Casualty
Liability coverage
20%
Capital Deployed $169.4M
Expected Loss Ratio 65%
Active Treaties 4
Liquidity Reserve
Redemption buffer
5%
Capital Reserved $42.3M
Yield Earning 4.2%
Availability Instant

Treaty Performance

Active Treaties

Treaty Type Status Premium Claims Performance
NA Hurricane QS 2025
Quota Share
 Property Cat Active $48.2M $12.4M +74.3%
EU Wind XOL 2025
Excess of Loss
 Property Cat Active $32.8M $8.1M +75.3%
Global Marine 2025
Quota Share
 Specialty Active $24.6M $18.2M +26.0%
Cyber Liability 2025
Excess of Loss
 Specialty Pending $18.4M $0 —
APAC Earthquake 2024
Quota Share
 Property Cat Completed $42.1M $28.4M +32.5%

Audit Reports

Security Audits

Independent security assessments of our smart contracts and infrastructure

Certora
September 2025
Hacken
April 10, 2025
Hacken
December 30, 2024
Hacken
September 3, 2024