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.
Results of our reinsurance market survey now available to view
6th September 2018
We've teamed up with our sister-site Artemis, the longest running publication focused on insurance-linked securities (ILS), to conduct a survey aimed at taking the temperature of the global reinsurance market. Hundreds of responses from identifiable participants were received, including numerous reinsurance market Chief Executive Officers and ... Read the full article
S&P maintains stable reinsurance outlook despite weak market conditions
4th September 2018
S&P Global Ratings has maintained its stable outlook on the global reinsurance sector and on the majority of the reinsurers it rates due to robust capital adequacy and disciplined underwriting, but has warned that the sector continues to face weak business conditions and fundamental challenges. The firm noted that operating conditions ... Read the full article
Reinsurance market continues to “skip along the bottom”, says A.M. Best
4th September 2018
The reinsurance sector continues to "skip along the bottom of the market" with no signs that rates are going to meaningfully improve anytime soon, according to ratings agency A.M. Best. A.M. Best's recent report on the global reinsurance landscape states that optimism over a turn in the market following the large ... Read the full article
Strong capital & consolidation drives stable reinsurance sector outlook: Moody’s
4th September 2018
Strong balance sheets and sector-wide consolidation via M&A are among the drivers for improved credit profiles of reinsurers, with Moody’s global outlook remaining stable. Higher interest rates and an increased demand from primary insurers in 2018 have alleviated some of the long standing imbalance between supply and demand whilst improving reinsurers’ ... Read the full article
Fitch revises global reinsurance sector outlook to stable
4th September 2018
Global ratings agency Fitch has revised its outlook for the global reinsurance sector from negative to stable in response to a new market normal, underlined by more modest returns on capital but less volatility than before. Fitch Ratings says that in recent years there has been a secular shift that has ... Read the full article
Workers’ comp profits strong, weaker pricing ahead: Fitch Ratings
3rd September 2018
The U.S workers' compensation insurance market reported strong underwriting performance for the third consecutive year in 2017, with an industry statutory combined ratio of approximately 92%, according to Fitch Ratings. However, Fitch warns that a steady decline in premium rates from increased competition will ultimately lead to weaker underwriting results. Fitch believes ... Read the full article
Aon’s public D&O pricing increases 6.1% at Q2 2018
3rd September 2018
Aon Risk Solutions (U.S) has reported in its quarterly pricing index of Directors’ and Officers’ liability (D&O) insurance that its D&O price per million was up 6.1% at Q2 2018 when compared with the prior year quarter, while average change for primary policies with the same limit and deductible increased ... Read the full article
Reinsurers adapting as alternative capital becomes permanent fixture: J.P. Morgan
31st August 2018
Reinsurers are adapting their business models in light of the market’s increasing reliance on alternative capital, which proved capable of absorbing large industry losses in 2017, and which may have ended the concept of ‘payback’ in the property & casualty (P&C) sector, according to analysts at J.P. Morgan. A report by ... Read the full article
“Conditions are right” to buy more catastrophe reinsurance: JLT Re’s Ed Hochberg
31st August 2018
Ed Hochberg, Chief Executive Officer (CEO) of JLT Re in North America, has suggested that primary insurers are increasingly understanding the value of reinsurance following 2017’s catastrophe losses, and claimed that the “conditions are right” for them to buy more cover. “It’s clear that primary insurers increasingly recognise the valuable role ... Read the full article
Kingstone reduces quota share reinsurance treaty to 10%
24th August 2018
Kingstone Companies, a multi-line regional property and casualty (P&C) insurance holding company, has announced that its wholly-owned subsidiary, Kingstone Insurance Company (KICO), has reduced its personal lines quota share treaty ceding percentage from 20% to 10%, effective July 1, 2018. Kingstone said the treaty remains on a ‘net’ of catastrophe reinsurance ... Read the full article
CATCo lines up $1bn of underwriting for Jan 19, expects flat pricing
17th August 2018
Markel CATCo's listed retrocessional reinsurance fund, the CATCo Reinsurance Opportunities Fund Ltd., has already lined up $1 billion of underwriting for January 2019, achieving similar rates to 2018. The company has released its first-half 2018 report, which reveals that mid-year renewals were successful, at the same increased pricing achieved at the ... Read the full article
Outlook for Jan 2019 reinsurance renewals negative: Deutsche Bank
26th July 2018
Deutsche Bank holds a negative outlook for January 2019 reinsurance renewals and does not expect pricing for July to gain significant momentum. The company cites an expectation that 2018 Q2 losses will be underestimated by the markets - despite a quiet quarter for natural catastrophe - while pricing data should support ... Read the full article
Mixed mid-year pricing results for Florida property cat reinsurers: Willis Re
11th July 2018
Property catastrophe pricing has been mixed for reinsurers in Florida at mid-year renewals, as increased demand for some companies following 2017’s catastrophes was offset by further non-traditional capital entering the market, according to reinsurance broker Willis Re. Willis Re’s 1st View Report observed that companies that performed well in Hurricane Irma ... Read the full article
Global re/insurance M&A set to be second most active year ever: Willis Re
11th July 2018
Willis Re's latest 1st View renewals report suggests that 2018 could be the most active year for M&A across the global insurance sector since 2015 - when volume was $121 billion, boosted by the ACE-Chubb merger - with YTD deal volume running at $44 billion. Transactions such as AXA’s $15 billion purchase ... Read the full article
Current market landscape has challenged long-term reinsurance business model: Analysts
10th July 2018
Morgan Stanley analysts have warned that the current reinsurance market landscape has challenged the long-term business model of reinsurance companies, in light of disappointing rate increases on the back of 2017's catastrophe losses and five years of pricing reductions. In spite of the record-level of global catastrophe losses experienced in 2017, ... Read the full article