In part 2/5 of the CEO forum, Intelligent Insurer asked ten leading industry CEOs their views about the influx of new capital and the relationship between traditional reinsurers and third party capital.
How might the continued influx of new capital potentially reshape the industry? What is next for the traditional reinsurer and third party capital relationship? How will it affect your business directly?
Amer Ahmed, CEO, Allianz Re: “There is clearly substantial new capacity in the reinsurance marketplace, from both traditional and non-traditional sources. This has fundamentally affected, and will continue to affect, the reinsurance market. The pricing for catastrophe exposures, at least for the key perils, has moved to a different level as the supply and demand equation has been rebalanced which marks a major shift in the mechanisms of the industry.
"It is seems clear that this will be a permanent feature, although the quantum may move up and down due to relative attraction of other investment options.
CEO, Alternative Capital, Third Party Capital, ILS