Artemis can report that the reinsurance carriers participating in the lowest layer of FEMA’s 2022 National Flood Insurance Program (NFIP) reinsurance tower now appear to be facing losses from hurricane Ian, as the NFIP’s claims from the storm have risen to $4.3 billion.Read the full article
Reinsurance renewals news
Reinsurance renewals news and articles. Discussing the trajectory of reinsurance pricing and rates, as well as the flow of reinsurance capital at key market renewal seasons where many reinsurance programs are renewed and new reinsurance and retrocession capital and capacity is deployed.
The reinsurance cycle follows a number of key renewal seasons and the news and analysis below covers these important reinsurance market renewals.
The key reinsurance renewal periods are at January 1st, April 1st, June 1st and July 1st.
The January renewals have a particular focus on European programs, Asia Pacific (ex. Japan), casualty and specialty risks. The mid-year reinsurance renewals see a particular focus on U.S. property catastrophe reinsurance renewals, with Florida a particular focus in June. Japanese reinsurance program renewals are a major focus at April 1st.
US primary insurer Allstate is considering buying more reinsurance, likely in aggregate stop-loss form, in order to cap the volatility its results are suffering from severe weather and cat loss activity, as well as possibly other loss effects.Read the full article
There is more optimising on the potential for retrocession capacity to be more available towards the end of the year for the January 2024 renewals, with conditions having improved and some fund-raising possible, Lara Mowery of Guy Carpenter said last week.Read the full article
The U.S. Federal Emergency Management Agency (FEMA) has begun the process to renew the National Flood Insurance Program’s (NFIP) traditional reinsurance tower for 2024 this week.Read the full article
Analysts at S&P Global Ratings explained in Monte Carlo this week that the reinsurance industry remains in a hard market, especially in property catastrophe lines of business, with the balance of power sitting with reinsurers and more demand for protection expected to come, providing new opportunities.Read the full article
Global reinsurer Hannover Re said that it expects P&C reinsurance pricing to rise again, while terms and conditions are expected to improve further, at the upcoming January 2024 renewals.Read the full article
Broker Guy Carpenter is calling for retrocession buying clients to leverage both traditional and alternative sides of the market, in order to “create competitive tension” at the upcoming January 2024 reinsurance renewals and beyond.Read the full article
Aon’s Reinsurance Solutions team intends to push reinsurers and ILS funds for rate reductions, in areas of the market where real competition is seen, with the higher-layers of towers likely to receive the most focus for price improvements for clients at the January 2024 renewals.Read the full article
The rebound in capital provided by the insurance-linked securities (ILS) market has become a key supply-side driver in the property catastrophe space, according to Joe Monaghan, Global Growth Leader Reinsurance Solutions at Aon.Read the full article
In revising its outlook on the global reinsurance sector outlook to ‘improving’ from ‘neutral’ to reflect the sector’s strengthening financial performance into 2024, Fitch Ratings has also cautioned that with capital building again, not least in catastrophe bonds and ILS, a gradual softening of the market can be expected from 2025.Read the full article