Reinsurance renewals news

A combination of forces coalesced in the second-half of 2020 which served to reduce demand for retrocession capacity at 1/1, resulting in a less constrained marketplace than initially expected, according to James Vickers, Chair of Willis Re International.

After Friday’s ruling from the UK Supreme Court found largely in favour of insurance policyholders in the Financial Conduct Authority’s (FCA)’s business interruption insurance test case appeals, insurance carriers RSA Group and QBE, have said that at least a portion of the increase in gross pandemic losses due to the ruling are likely to be […]

Hiscox Group, the insurance, reinsurance and third-party capital backed underwriter headquartered in Bermuda, is again the first to release a statement following this morning’s announcement that the UK Supreme Court found largely in favour of insurance policyholders in the Financial Conduct Authority’s (FCA)’s business interruption insurance test case appeals.

The UK Supreme Court has found largely in favour of insurance policyholders in the Financial Conduct Authority’s (FCA)’s business interruption insurance test case appeals.

Reinsurance and also retrocessional exposure to the COVID-19 pandemic may rise if the final judgement in the UK Financial Conduct Authority’s (FCA)’s business interruption insurance test case goes against the industry.

RenaissanceRe, the Bermuda headquartered specialty re/insurer and third-party reinsurance capital manager, has pre-announced an expected $345 million of losses from natural catastrophes and COVID-19 suffered during the fourth-quarter of 2020.

Trapped capital is expected to remain and pose an ongoing challenge for some investors and managers from across the insurance-linked securities (ILS) space, according to executives at Willis Re, the reinsurance arm of broker Willis Towers Watson (WTW).

New capital helped to mitigate the dislocation of global reinsurance markets at the key January 2021 renewal season, with ample supply to meet cedent demand, while there is an expectation that additional new capital comes on-stream early this year.

The current firming of reinsurance is perceived as “not a classic hard market” by analysts at Peel Hunt, who after meeting with underwriters from the Lloyd’s market concluded that rate momentum should persist through 2021.

The fact new reinsurance start-ups, the so-called Class of 2020, have no legacy portfolios of risk and so are unencumbered by recent years of catastrophe losses, exposure to the COVID-19 pandemic and issues such as social inflation, makes them the best opportunity to invest in the rising reinsurance tide, according to analysts at Jefferies.