Performance among the 17 non-life reinsurance companies monitored by Fitch Ratings Inc. improved during the first half of 2021 as the Group's combined share decreased to 94.5% from 105.9% in the first half of 2020 and net prices rose 18.47% to 72 , $ 78 billion, Fitch said in a report Monday.
Last year's total for the first half of the year included $ 6.1 billion in COVID-19 pandemic-related reinsurance losses, Fitch said, compared to only $ 500 million in non-life insurance losses in the first half.
Only two of the companies, Markel Corp. and RenaissanceRe Holdings Ltd., reported higher reinsurance compared to the previous year.
Insured natural disaster losses were "manageable" $ 40 billion in the first half of 2021
At the same time, price increases for reinsurance continue, although "market prices for the various renewals for 2021 were lower than the reinsurance companies expected as interest rates slowed," Fitch said. Nevertheless, reinsurers have continued to hedge price increases since mid-2019.
U.S. property losses increased by 10% to 25% on June 1 and July 1, 2021 renewals compared to 10% to 30% during the same period in 2020; The US loss – free accounts were unchanged at 15% in 2021 against 5% to 20% a year ago.
Florida property loss increased by 5% to 30% on June 1 and July 1, 2021, renewals from 5% to 35% a year ago. Florida's property loss decreased by 5% to 5% as of June 1 and July 1, 2021, renewals compared to 5% to 39% a year ago.
U.S. The general liability without loss was unchanged at up to 10% on 1 June and 1 July 2021, renewals compared with fixed at up to 20% a year ago.
Prices are expected to continue to rise into 2022 onwards "when reinsurance companies exercise discipline and pricing is insufficient in the face of rising disasters, low interest rates and inflation considerations," Fitch said. Catalog