Reinsurance News

Reinsurance renewals 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.

Demand for non-life reinsurance to increase in 2019: A.M. Best

11th December 2018

Demand for non-life reinsurance is expected to increase over 2019, according to A.M. Best, due primarily to factors such as the return of U.S economic growth, as well as global growth and benefits from the U.S federal tax reform. Analysts at A.M. Best believe these conditions will provide opportunities for organic ... Read the full article

QBE benefits from early reinsurance renewal as it restructures placement

11th December 2018

Australian and global primary insurance and reinsurance group QBE said it has benefited from favourable terms and better pricing by getting to market early with its 2019 reinsurance renewal. The insurer said that by hitting the market early it has been able to achieve lower pricing, avoiding any uptick in market ... Read the full article

Hard market not needed to fix AIG: Brian Duperreault

10th December 2018

The Chief Executive Officer (CEO) of global insurer and reinsurer American International Group (AIG), Brian Duperreault, has said that a hard market isn't required to fix the company. After reporting a third-quarter net loss, albeit improved on the same period in 2017, AIG's full-year 2018 performance will likely be closely watched ... Read the full article

Stable rates but January renewals to be highly competitive

6th December 2018

Noise from global reinsurance companies and alternative, or third-party capital participants suggests that every catastrophe renewal at January 1st 2019 is going to be highly competitive for a number of reasons, with rates expected to remain stable during the key renewals season. There's a feeling across the reinsurance and also insurance-linked ... Read the full article

PI premiums to rise as construction market hardens, warns JLT Specialty

3rd December 2018

JLT Specialty, the specialist insurance broker and risk consultant, has warned that contractors could face a significant increase in professional indemnity (PI) premiums as the construction market begins to harden. Greater regulatory scrutiny and uncertainty regarding cladding systems following the Grenfell fire has led many insurers to scale back on capacity ... Read the full article

Reinsurance sector struggling to keep pace with cost of capital: S&P

30th November 2018

With only modest pricing increases experienced over 2018 and momentum set to fade in 2019, the global reinsurance sector may find it increasingly difficult to keep pace with its cost of capital, according to S&P Global Ratings. The rating agency noted that last year the reinsurance sector generated returns on capital ... Read the full article

Everest Re optimistic about 2019 renewals, reports Goldman Sachs

30th November 2018

Global reinsurer Everest Re is optimistic about the pricing outlook for reinsurance renewals over 2019, anticipating rate increases across property catastrophe, specialty and casualty lines, according to analysts at Goldman Sachs. After a series of meetings with Everest Re’s management, including its CEO, CFO and presidents of the Reinsurance and Insurance ... Read the full article

Reinsurers to see localised rate increases over 2019: Goldman Sachs

26th November 2018

Although overall reinsurance pricing momentum overall is likely to slow going into 2019, Goldman Sachs expects to see localised rate increases in some areas that have experienced heavy catastrophe losses over 2018. In Japan, Goldman Sachs predicted that the $8 billion loss from Typhoon Jebi (with a $2 billion reinsurance attachment) ... Read the full article

Downstream energy sector to see turnaround after years of losses: WTW

23rd November 2018

Price increases in the downstream energy re/insurance sector are now inevitable after years of unprofitable returns and major losses, according to re/insurance broker Willis Towers Watson (WTW). The November 2018 edition of the firm’s Energy Market Review noted that 2017 was the second worst underwriting year on record for the sector ... Read the full article

Commercial insurance pricing continues to rise at Q3: Marsh

23rd November 2018

Average commercial insurance prices rose by just over 1% over the third quarter of 2018, marking the fourth consecutive quarter of pricing increases for the sector, according to the latest Global Insurance Market Index by re/insurance broker Marsh. The pricing trend has largely been driven by increases in property and financial ... Read the full article

Upstream energy sector remains profitable, but rate reductions unlikely: WTW

22nd November 2018

The upstream energy re/insurance sector looks set to continue its profitable trend in 2018, although insurers are reluctant to implement any further rate reductions as this fragile dynamic could be reversed by only a modest upturn in claims, according to re/insurance broker Willis Towers Watson (WTW). The November 2018 edition of ... Read the full article

Wildfires could boost P&C pricing and reduce risk appetite: Morgan Stanley

21st November 2018

With the recent outbreak of devastating wildfires in California marking two consecutive years of large losses in the state, analysts at Morgan Stanley have suggested that the property and casualty (P&C) re/insurance market could respond by raising prices and reducing its risk appetite. The firm said that the industry will have ... Read the full article

Stagnant pricing trends unlikely to shift significantly in 2019: S&P

16th November 2018

This year's catastrophe losses may cause some reflection within the sector and could provide support to current pricing levels, but the underlying prognosis for relatively stagnant pricing trends looks unlikely to shift significantly in 2019, according to S&P Global Ratings. Furthermore, In the aftermath of last year's record catastrophe losses the ... Read the full article

Zurich expects rates momentum to slow into 2019, says CFO Quinn

14th November 2018

Zurich Insurance Group continues to achieve rate increases across its property and casualty (P&C) lines, but it expects pricing momentum to slow down as it moves into 2019, according to Chief Financial Officer George Quinn. Speaking during a third quarter earnings call, Quinn explained that the overall rate changes experienced over ... Read the full article

Goldman Sachs anticipates muted 1/1 renewal season

13th November 2018

Goldman Sachs expects a muted 1/1 renewal season with flat pricing across the property and casualty lines. Meanwhile, the firm says the main questions around catastrophe losses in 4Q18 will likely be the scale of insured losses from the wildfires currently raging in California, and loss creep from last year's ... Read the full article