Industry meeting: Reinsurers must expect further price declines
Prior to the industry meeting in Baden-Baden, large brokers expect further pressure on reinsurance premiums. However, contract negotiations are likely to be about more than just prices.
The global reinsurance market is expected to see further pressure on prices at the year-end renewals, according to brokers and analysts. Despite having ample capital, reinsurers such as Munich Re, Swiss Re, and Hannover Rück are likely to face price reductions of 10-15% due to increased competition and alternative capital from Insurance-Linked Securities (ILS).
The market is also seeing a rise in demand for reinsurance coverage, particularly for natural disasters and cyber risks, with Swiss Re and Munich Re stating they are ready to meet this demand.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
