Global reinsurer AXA XL Re is cautious heading into the key January 1 2027 renewals as there’s still time for meaningful loss events to impact the industry, but in a market with improved discipline, the focus is on providing consistency of pricing and appetite through the cycle, according to CEO Renaud Guidée.
Speaking with Reinsurance News around the 68th edition of the Rendez-Vous de Septembre (RVS) in Monte Carlo, AXA XL Re’s leader discussed a range of industry topics, including his outlook for the January reinsurance renewal season.
“While this year’s wildfires, earthquakes and ongoing conflicts (among other events) have caused significant destruction and human suffering, they have not, from a reinsurance perspective, translated into a major industry loss event. But the season is not over and we therefore remain cautious heading into the 1/1 renewals,” he said.
In property specifically, Guidée said that AXA XL Re expects a broadly disciplined but competitive environment.
“Both rate and loss trends continue to matter. After the due recalibration we’ve seen over recent years, our focus at 1/1 2027 will be on maintaining a fair, risk reflective pricing framework and preserving the improvements in terms and structure. Let’s not lose sight of the persistently elevated inflation environment we operate in. While carrying forward attachment points at a constant level year after year may convey a sense of nominal stability, they actually reflect, in real terms, a loosening of terms and conditions,” said Guidée.
In casualty, the CEO highlighted that uncertainty remains elevated, notably around long-tail exposures and social inflation.
“We hear of some carriers having issues completing their placements. We will continue to focus our capacity on established cedants who demonstrate strong underwriting discipline, manage limits and attachment points carefully, and have superior claims handling,” said the CEO.
“For both property and casualty, we aim to provide consistency of pricing and appetite through the cycle,” he added.
While rate often grabs the headlines, the tightening of terms and conditions – especially higher attachment points – in the 2023 market reset was seen as crucial for reinsurers, and Guidée feels that broadly, reinsurer discipline is holding.
“Discipline has improved, and most leading reinsurers understand the value of maintaining balance in the market,” he said. “Attachment points, particularly in property casualty excess of loss, have increased for good reasons. Similarly, in US exposed bodily injury classes cedants have been managing available limits downwards to control social inflation wherever possible. We will continue to focus our capacity on cedants who actively manage limits and share our view on long-term sustainability.
Broker reports have shown that dedicated reinsurance capital hit new heights in 2025 and is projected to grow further by year-end 2026. As a result, the reinsurance market is currently very competitive, which has the potential to influence underwriting discipline.
In light of this, we asked AXA XL Re’s CEO how he thinks about maintaining underwriting discipline in this type of market environment.
“Discipline comes from clarity of purpose and confidence in the value of our capital. We know the value of our capital, and we know we can offer our clients a high quality product,” said Guidée.
He went on to explain that this means several things, including being explicit about business objectives by cedant and line of business; maintaining a clear view of risk trends, loss experience and portfolio aggregation; empowering experienced, long standing underwriters to make decisions within a robust framework; and, providing fair, risk reflective prices.
“We want to grow with clients we consider best in class in underwriting, claims, risk management, data quality and stability of buying. That focus helps us stay disciplined even when conditions tighten,” added Guidée.
In this competitive landscape, Guidée underlines security and claims track record, people and accessibility, and global reach combined with local delivery as the main differentiators for AXA XL Re.
Expanding on these points, the CEO said: “We are one of a very small number of AA flat rated reinsurers, recognized for both the ability and willingness to pay claims. We have a long track record of paying and managing complex claims constructively across Property, Casualty and Specialty, and we see claims handling as an integral part of our service.
“Our most senior underwriters are empowered, long standing and widely recognized as experts in the market. Clients and brokers know them personally and can access them directly. These personal relationships, backed by a structured engagement model, provide continuity and depth that many cedants value highly.
“We “think globally but operate locally”. With three regions and hubs in key locations, we provide a joined up service wherever, whenever and however our partners wish to access us. We can lead and quote virtually all of our lines of business, and we aim to provide a seamless experience across geographies and classes.”
“Together, these elements – capital strength, claims differentiation, expert people and integrated global platform – make us more than the sum of our parts,” said Guidée.
