Increasing re/insurance capacity still matched by demand
Friday, 05 08 2015, Category: Insurance and Reinsurance, Country: World
The strongly increasing supplies of primary insurance and reinsurance capacity continue to be matched with growing demand that has yet to be exhausted, according to the world’s largest reinsurer Munich Re.
While the expected pressure on reinsurance margins continues, and property catastrophe reinsurance in particular remains pressured, Munich Re sees opportunities which in the first-quarter of the year have enabled it to continue to generate reinsurance premiums.
In a challenging market where reinsurers are typically pulling back on capacity deployed, Munich Re believes that demand is rising, in certain bright spots in the market, allowing it to continue to deploy its capital, albeit at slightly lower rates.
Munich Re’s CFO Jörg Schneider said that there remains a strong demand for insurance and reinsurance in many parts of the world.