PHOTOCREO Michal Bednarek
Although there are hints towards pricing stabilisation in the global reinsurance market, continuing declines driven by increased competition and a lack of significant natural catastrophe losses signal a challenging 2017. Intelligent Insurer investigates.
Some of the largest re/insurance brokers are starting to see evidence of rates beginning to stabilise in the property-catastrophe market, despite nearing the historic lows of the late 1990s.
When reinsurance programmes were renewed on January 1 a number of the bigger brokers, which see enough such transactions to know, have suggested that the rate of softening has slowed – but this varies by market and depending on who you ask.
The likes of Willis Re, Guy Carpenter and JLT Re, for example, all agreed they have started to see a moderation in the declining rates reported in this renewals season, although vary in their interpretations of whether this will lead to stabilisation.
January renewals, Aon Benfield, Guy Carpenter, JLT Re, Willis Re, North America, Europe, ILS, Property, Catastrophe