Reinsurance News
Reinsurance renewals are the key points in the year when the majority of reinsurance contract renewal negotiations occur and are completed.
The reinsurance renewal seasons provide insight into reinsurance pricing, contract terms, reinsurance market positioning and the direction of future trends in the market.
8th July 2021
US specialty insurance group Assurant has detailed its 2021 property catastrophe reinsurance program, which provides $965 million of coverage in excess of a $80 million retention for a first event, with retention lowering to $55 million for a second and third event. The company decided to reduce its retention for certain ... Read the full article
7th July 2021
James Vickers, Chairman of Willis Re International, has said that “discipline is still there,” even as the latest edition of the broker’s 1st View Report shows that recent reinsurance price increases have brought the market close to equilibrium. Speaking in an interview with Reinsurance News, Vickers noted that the reinsurance market ... Read the full article
5th July 2021
Australian insurer IAG has announced the completion of its aggregate reinsurance cover for the fiscal year ending June 30th, 2022, which provides it with $350 million of protection in excess of $400 million. IAG switched its aggregate cover from a calendar to financial year basis in 2020, enhancing its use of ... Read the full article
2nd July 2021
Australian insurer Suncorp has successfully renewed its reinsurance program for 2022, securing an unchanged upper limit of $6.5 billion covering home, motor, and commercial property portfolios across Australia and New Zealand. The structure of Suncorp's FY22 reinsurance program remains unchanged from the company's FY21 program, as the Group's maximum event retention ... Read the full article
1st July 2021
Willis Re has reported that reinsurance rate increases continued for most major lines and territories during the June and July renewal period, although in many cases reinsurers had to accept firm order terms below their initial quotes. That indicates that the market is approaching equilibrium, the reinsurance broker says in its ... Read the full article
28th June 2021
Florida based primary insurer FedNat has detailed the terms of its 2021-2022 catastrophe reinsurance renewals, which saw the firm expand its program despite the impact of "more restrictive terms" on the availability of some coverages. Overall, FedNat secured $1.41 billion of single event reinsurance coverage in excess of up to a ... Read the full article
17th June 2021
Analysts at Willis Re have observed an improvement in underlying profitability among global re/insurers in the first quarter of 2021, as rate increases for both reinsurance and commercial insurance lines of business continued to outstrip claims inflation. Claims inflation has been flagged as one of the key challenges facing the re/insurance ... Read the full article
7th June 2021
The largest slice of Florida’s Citizens Property Insurance Corporation's 2021 traditional reinsurance renewal went to providers of collateralised reinsurance, with these participants committing more limit than domestic and Bermuda reinsurers combined. For both the Coastal Account and Personal Lines Account segments of its $4.487 billion reinsurance tower, Citizens has secured a ... Read the full article
4th June 2021
According to key market conditions identified by global reinsurer Swiss Re, price rises are expected to continue both this year and next, further increasing the profitability of new business. For example, Swiss Re notes how re/insurance rates have been hardening since 2018, with price momentum having picked up at this year's ... Read the full article
1st June 2021
Risk-adjusted property catastrophe reinsurance rates increased by 5-10% on average at the June 1st, 2021 renewals as price momentum decelerated year-on-year, according to HX, the digital, analytics, and advisory unit of Howden Group Holdings. According to data available in financial and underwriting data platform, NOVA, reinsurance rate momentum remained at the ... Read the full article
1st June 2021
Universal Insurance Holdings, Inc.'s wholly-owned insurance company subsidiaries have completed their 2021-2022 reinsurance programs, which includes the purchase of more open market catastrophe capacity than ever before. Effective June 1st, 2021, Universal Property & Casualty Insurance Company (UPCIC) and American Platinum Property and Casualty Insurance Company (APPCIC), have completed their reinsurance ... Read the full article
28th May 2021
Florida head-quartred insurer United Insurance Holdings (UPC Insurance) has renewed its core catastrophe reinsurance program for 2021/22. For this year, the insurer's core catastrophe program includes $2.85 billion of first event reinsurance limit on a fully cascading basis, except for the Florida Hurricane Catastrophe Fund layer. In addition to the Core CAT ... Read the full article
24th May 2021
Reinsurance executives’ 6/1 reinsurance renewal pricing expectations remain satisfactory but unspectacular, according to a new KBW report. Florida renewals are expected to end up at 5-10%, with bigger increases on loss-impacted accounts. One executive anticipated 20-30% increases for Florida- focused property insurers whose expansion into other Gulf states proved less diversifying than ... Read the full article
24th May 2021
After a week of meetings in anticipation for the June 1 reinsurance renewals, JMP Securities analysts say they are anticipating an orderly renewal that will see less significant rate increases than reinsurers had hoped for, due to reduced demand and excess supply. Analysts describe the potential rate movements as modest, with ... Read the full article
21st May 2021
Bermuda and Florida re/insurance market executives are optimistic about sustained rate increases at the upcoming June 1st, 2021 renewals, although lower year-on-year rises are expected as a result of reduced COVID-19-related fears and abundant insurance-linked securities (ILS) capacity, according to analysts at Keefe, Bruyette & Woods (KBW). With the June and ... Read the full article
