SCOR grows P&C reinsurance at April 2019 renewals; expects favourable market conditions
French reinsurer SCOR grew its global property and casualty (P&C) gross written premiums by 9.6 percent at constant exchange rates at the April 2019 renewals to €548 million.
The reinsurer said it benefited from the broadly improving market conditions as the April renewals reaffirmed the positive trends observed in January.
SCOR saw the largest renewal growth in Asia Pacific, where the reinsurer improved its risk appetite while managing the exposure of its portfolio. Cat reinsurance treaties responded rationally, it said.
In Japan, the catastrophe rates rose by around 15 percent, which represent close to 10 percent of its renewable portfolio in April
In the US, SCOR Global P&C saw significant growth in both non-cat property and casualty lines, while cat premium remained stable as the US reinsurance programmes most affected by the events of 2018 renew in June and July. Market conditions progressively improved, it noted.
SCOR found that its risk-adjusted pricing went up by 1.6 percent overall, given the weighted impact of other markets where prices remain flat to slightly down (e.g., India, Republic of Korea, Latin America, Europe, and the Middle East).
Overall, these renewals position SCOR Global P&C growth in line with its "Vision in Action" strategic plan, the company said. To date, it has renewed approximately 75 percent of its portfolio.
“The April renewals, which are very much driven by Asia-Pacific, continue the strong start delivered by SCOR Global P&C in January 2019," said Jean-Paul Conoscente, CEO of SCOR Global P&C. "The Cat market is disciplined in this region, given the weight of the events of 2018.
"SCOR’s clients continue to value its long-term coverage capacity and multi-line participation. Our client-focused strategy, backed by SCOR’s top-notched balance sheet and expertise, generates new business opportunities, especially in the United States.
"We are confident as we embark on the June and July renewals that SCOR Global P&C will achieve results in line with the “Vision in Action” strategic plan assumptions.”
