Universal Insurance refinances $100M debt at 7.75%, up from 5.625%, with new covenants

Filed June 18, 2026 · Period ending June 16, 2026 · ~1 min read

Key Changes

• high

  Issued $100M of 7.75% senior notes due 2031 to refinance existing 5.625% notes due 2026, increasing annual interest expense by approximately $2.1M and extending maturity by 5 years.

  Item 1.01 — Entry into a Material Definitive Agreement verify on EDGAR →
• high

  New debt requires maintaining cash equal to 12 months of interest payments and keeping total debt below 40% of capitalization, restricting financial flexibility and potentially limiting growth investments.

  Item 1.01 — Entry into a Material Definitive Agreement verify on EDGAR →
• medium

  Interest rate adjusts automatically based on credit rating changes, creating potential for higher borrowing costs if the company's creditworthiness deteriorates.

  Item 1.01 — Entry into a Material Definitive Agreement verify on EDGAR →