Discipline, diversification and opportunity in APAC’s shifting reinsurance market: Howden Re.

As Asia-Pacific’s reinsurance landscape rapidly evolves, Howden Re’s newly appointed regional leaders joined a roundtable to offer their market insights as the industry heads into the Singapore International Reinsurance Conference (SIRC). 

“Reinsurance costs and retention levels are top of mind across the industry.”

Key points:
Reinsurers are seeking better balance
Increasing focus on pricing discipline
Cedants are looking for stability

How have reinsurers’ appetites and capacity allocations evolved across APAC? 

Candy Wong, head of treaty, Hong Kong, Howden Re: Reinsurers are seeking greater balance in their portfolios, broadening beyond traditional non-marine and catastrophe lines into casualty, cyber and crypto. In Hong Kong, appetite has strengthened as reinsurers look to grow market share following several years of strong underwriting results. The market’s resilience through recent black rainstorms and typhoons has reinforced confidence in its performance and quality of risk.

Jimmy Tsai, managing director, Taiwan, Howden Re: Capacity has increased for property treaties, particularly pro rata and event XOL structures. At the same time, more reinsurers are showing interest in casualty treaties to diversify their portfolios beyond property risk. 

John Philipsz, head of Australia and New Zealand, Howden Re: We continue to see unwavering support for the ANZ market from the global reinsurance sector, many of whom are seeking opportunities to deploy capacity. The resilience of our economy continues to provide accretive growth prospects that are significantly attractive.

What themes will shape the reinsurance debate in APAC over the next year?

Wong: Pricing will be the defining issue. After three years of significant increases, buyers are prioritising cost adjustments. Hong Kong cedants, having delivered consistent underwriting profits, will be focused on cost discipline as competition intensifies.

Tsai: Reinsurance costs and retention levels are top of mind across the industry. Across APAC, players anticipate more frequent and severe nat cat losses. Loss trends in new energy sectors such as solar, battery storage and wind farms will also be closely monitored.

Philipsz: In ANZ, clients are increasingly exploring capital markets options alongside traditional reinsurance. Integration of capital, analytics and advisory will be critical for a maturing market that values flexibility and access to alternative capacity.

How are cedants’ priorities and expectations evolving? 

Wong: Cedants are looking for stability in reinsurance expenditure, with some considering additional protection if conditions soften. Others use reinsurance strategically to improve solvency or manage volatility. Among a crowded market, reinsurers aim to deliver innovative, competitive terms for clients. 

Tsai: In Taiwan, the facultative market has softened over the past year, and cedants now expect the treaty market to follow. This has created greater caution for reinsurers approaching renewals. 

Philipsz: In ANZ, cedants value deep-seated partnerships, combining capacity, pricing stability and capital insights. Advisory engagements are increasing as clients prioritise long-term resilience over short-term pricing.

What will shape reinsurers’ strategy and discipline in the year ahead? 

Wong: Reinsurers will increasingly segment clients by appetite and strategic importance, offering broader support to preferred partners. Despite certain underwriting restrictions, a more commercial, portfolio-based approach will emerge.  

Tsai: Underwriting decisions will continue to be shaped by recent loss activity and product innovation. Reinsurers with technical capability in sectors such as renewable energy, cyber and financial lines will be better positioned to build long-term relevance and secure meaningful treaty participation. 

Philipsz: Our market has seen some significant consolidation, so reinsurers will focus on maintaining existing relationships and broadening diversifying opportunities. We are already seeing reinsurers keen to support the expanding corporate self-insurance sector (captives and mutuals) as well as reinsurance support for MGA portfolios to add accretive premium.

What attracted you to Howden Re, and how do you plan to deliver value for clients? 

Wong: Howden Re’s rapid global growth and strong capital base present significant opportunity. Its collaborative, global nature is a strength – working closely with colleagues closely across APAC and internationally enables us to share expertise and develop tailored solutions. In Hong Kong, the focus is on embedding our team within Howden Re’s international platform to deliver even greater value to clients. 

Tsai: The collaborative culture was a key factor. The ability to share expertise and develop innovative structures will help introduce new solutions to traditionally conservative markets such as Taiwan, improving efficiency and expanding client choice.

Philipsz: The integrated model of Howden Re, combining reinsurance, capital markets and strategic advisory offers clients an unrivalled service capability. The opportunity to be part of this build-out in ANZ and the broader APAC region through a truly client-first and capital-agnostic approach is very exciting. 

Candy Wong is head of treaty, Hong Kong at Howden Re. She can be reached at: Candy.Wong@howdenre.com.

Jimmy Tsai is managing director, Taiwan at Howden Re. He can be reached at: Jimmy.Tsai@howdenre.com.

John Philipsz is head of Australia and New Zealand at Howden Re. He can be reached at: John.Philipsz@howdenre.com.

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