Reinsurance News
inflation
Inflation likely to persist over the medium term: AM Best
20th April 2022
According to rating agency AM Best, high levels of inflation which has been driven by supply chain disruptions, labour shortages and rising energy prices, are likely to persist over the medium term. In February, the Consumer Price Index (CPI) in the UK hit an almost 30-year high of 6.2%, far in ... Read the full article
Hard market becoming increasingly risky and challenging for insurers: Amwins
12th April 2022
Specialty insurance wholesaler, Amwins has stated that the insurance industry continues to navigate the domestic and international challenges of the toughest market conditions most have ever seen. As the industry entered into the second quarter of 2022, the broker expected to see more of a “slowdown” of the hard market conditions, ... Read the full article
Russia-Ukraine conflict creates new risks for insurers: Moody’s
7th April 2022
According to Moody’s, the economic consequences of Russia’s invasion of Ukraine creates new risks for global insurers and asset managers, with the impact of the crisis depending on its severity. Moody’s has created its own baseline scenario, which resulted in the G20 economies’ GDP growth slowing to 3.6% in 2022, compared ... Read the full article
Reinsurers’ underlying combined ratio sub-100 for first time since 2014: Gallagher Re
7th April 2022
According to global reinsurance broker Gallagher Re, reinsurers’ weighted average reported combined ratio was 97.6% in 2021, a sharp improvement from the COVID-19-impacted 104.1% for the year prior. On an underlying basis, so excluding prior year development and normalising for natural catastrophe losses, reinsurers' combined ratio improved from 100.7% to 99.8% ... Read the full article
Energy transition risk accelerated by events in Eastern Europe: WTW
6th April 2022
According to the annual Energy Market Review by global re/insurance broker WTW, the need to manage energy transition risk is being accelerated by the requirement to seek alternative sources of energy to oil and gas, following events in Eastern Europe. The report also covers the volatility of the energy sector, with ... Read the full article
Insurers prioritising yield & ESG factors within investment decisions: Goldman Sachs
4th April 2022
According to findings from Goldman Sachs eleventh annual global insurance survey, as insurers continue to prioritise yield and Environmental, Social and Governance (ESG) factors in investment decisions, they plan to increase their allocation to private equity (44%), and green or impact bonds (42%) over the next year. The survey titled – ... Read the full article
Q1 large losses to harden reinsurance renewals in 2022: S&P
1st April 2022
Rating agency, S&P Global Ratings has released a report that showcases how the large losses the industry has already witnessed in Q122 will further harden upcoming reinsurance renewals in 2022, and potentially even into 2023. The rating agency explained how 2021 was an active natural catastrophe year, the fourth-costliest on record ... Read the full article
Pricing must remain favourable to outstrip inflation: Gallagher Re
29th March 2022
Analysts at reinsurance broker Gallagher Re have contended that pricing and terms need to remain favourable in order for re/insurers to maintain or grow margins in 2022 and 2023. Reflecting on recent conference calls, the broker noted that inflation remains one of the most widely discussed themes among senior executives. Last year, ... Read the full article
Howden’s Flandro: Hardening market to last longer than expected
28th March 2022
The fast-changing macroeconomic issues currently impacting the re/insurance industry are expected to cause for the hardening market to last longer than expected, according to Head of Analytics at Howden unit HX, David Flandro. In the insurance broker's latest review and earnings update for FY2021, Flandro, alongside Michelle To, Head of Business ... Read the full article
US business cycle could soon turn: Swiss Re
23rd February 2022
As part of a new report, analysts at Swiss Re have asserted that insurers should be prepared for the possibility that the US business cycle could turn soon, with market indicators currently sending mixed signals about the stage of the economy. The reinsurer notes that a tight job market, inflation and ... Read the full article
Inflation is a longer-term positive for Aon, says CFO Davies
14th February 2022
Christa Davies, Chief Financial Officer (CFO) at Aon, has said that she considers inflation to be a positive trend for the re/insurance broker over the longer term. Speaking in a Q4 earnings calls, the executive acknowledged that in the short-term, inflation would inevitably have a financial impact on the business due ... Read the full article
Re/insurance pricing to remain ahead of loss cost inflation: JP Morgan
9th February 2022
Analysts at JP Morgan remain confident that the overall P&C pricing environment should remain positive for P&C (re)insurers in 2022, providing attractive growth opportunities and remaining ahead of loss cost inflation. In particular, reinsurance pricing should be buoyed by another year of substantial losses and continued weak sub-sector ROE, JP Morgan ... Read the full article
2022 to see less intense growth rates: MAPFRE report
3rd February 2022
Analysts at MAPFRE Economics have released a report which shows that the second half of 2021 saw less intense growth rates which will continue into this year, reducing from 4.9% to 4.8% for 2022 in the baseline scenario, while they predict an increase of 3.6% for 2023. They also explained that ... Read the full article
Rate increases persist, reflecting losses and low returns: Marsh McLennan CEO
31st January 2022
In the property and casualty (P&C) insurance market, rate increases have persisted and reflect elevated losses, low returns, concerns about inflation, and a firming reinsurance market, reported Dan Glaser, President and Chief Executive Officer (CEO) at Marsh McLennan (MMC). During the broker's Q4 earnings call, he explained that the Marsh Global ... Read the full article
US Federal Reserve is behind the curve on tackling inflation: Swiss Re
19th January 2022
The US Federal Reserve (the Fed) is behind the curve on tackling inflation and will need to tighten policy using a combination of levers like rate hikes and quantitative tightening, according to analysts at global reinsurance giant, Swiss Re. With CPI inflation amounting to 7% YoY and has remained elevated ... Read the full article
Getting your daily reinsurance news from Reinsurance News is a simple way to receive only the reinsurance industry news that matters, delivered directly to your email inbox.
