M&A to continue as reinsurers seek wider footprint
Saturday, 06 06 2015, Category: Insurance and Reinsurance, Country: World
Merger and acquisition (M&A) activity is expected to continue throughout 2015 as companies realise the need to create a more diversified and global book of business.
This is the finding of rating agency AM Best in its latest report on the reinsurance industry, explaining that companies will feel the need to become bigger as favourable reserve releases start to diminish and companies are under pressure to deliver underwriting profits.
The rating agency added that reinsurers will now find it fundamental to have a wider footprint and broader scale to compete in the current market.
Source: Intelligent Insurer