Hannover Re CEO Ulrich Wallin, Source: Hannover Re
As the soft market stretches on and new capital continues to find ways to compete on the turf of established reinsurers, the bigger, traditional players are being forced to adapt. Most are increasingly willing to shun unprofitable business while exploring new potential revenues streams and keeping one eye on (and often an investment in) technologies with the potential to change their way of working.
But not all. While many of its rival reinsurers are seeking alternative growth opportunities through fee income relating to advisory services, technology or the use of alternative risk-transfer structures, Hannover Re’s chief executive officer Ulrich Wallin believes sufficiently profitable traditional risk transfer business will remain available for the foreseeable future.
“We are currently growing in the US, both in property/casualty as well as in personal liability/casualty reinsurance,” says Wallin. “We grow via clients’ demand for new products or through participation in their growth opportunities. This trend continues in 2017.”
In the US, Hannover Re offers reinsurance cover to around 600 primary insurers. North America contributed 35 percent to Hannover Re’s €9.21 billion ($10 billion) property/casualty reinsurance gross written premium in 2016, according to a March 9 annual results presentation. Similarly, the US business made up 30 percent of the company’s €7.15 billion ($7.8 billion) non-life reinsurance gross written premium in 2016.
Hannover Re, Ulrich Wallin, Soft Market, Munich Re, Swiss Re, Insurtech, Europe, North America