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Cedants target methods of reducing pressure on earnings as reinsurers chase growth.
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Being conservative and stable is the name of the reinsurer’s game.
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Scale is increasingly becoming a differentiator for reinsurance carriers, the broker noted.
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Geopolitical turbulence brings new challenges that primary specialty lines carriers urgently need to address.
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Despite high profile losses, there’s ample capacity in marine and aviation, while PV has seen healthy profits.
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Litigation funders are promoting “aggressive” tactics in the UK, Holland and Israel.
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The company, however, sets a high bar on making a move.
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Earnings covers do not need to equal aggregate reinsurance deals, the broker said.
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Reinsurers are ready to draw a line under a worsening claim outlook across the casualty market.
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Terms are expected to hold, underpinning the stronger recent performance of reinsurers.
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Excess capacity will sustain softer rates, as organic growth challenges lead to more M&A chatter.
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Agency reactions ranged from Fitch revising down its sector outlook to AM Best keeping a positive outlook.