Centre Solutions (Bermuda) Ltd. yesterday assured investors the company is not expected to suffer any losses under its catastrophe bond issue due to Hurricane Georges.

Bermuda-based Centre Solutions issued $83.57 million worth of catastrophe bonds under a reinsurance contract with Trinity Re, Ltd. in March, the first insurance securitisation of 1998.

The bonds provide retrocessional catastrophe cover for natural and man-made perils underwritten by Centre Solutions. The issue is closely linked with one particular catastrophe excess-of-loss contract, for $80 million in cover in excess of $45 million in retained losses, which Centre Solutions entered into with a Florida homeowners insurer.

Loss of principal on the bond is triggered when centre Solutions incurs losses as a direct result of a hurricane under the excess of loss policy with the insurer.

The bonds mature December 31, 1998 and have a layer of $22 million principal-protected securities, along with $61.53 million of notes in which the principal is at risk.

Trinity Re is a special purpose vehicle incorporated in the Cayman Islands.

The name symbolises the partnership between the insurance, reinsurance and capital markets.