Don’t blindly deploy capital in a softening market
Friday, 06 12 2015, Category: Insurance and Reinsurance, Country: World
In a softening insurance or reinsurance rate environment it’s especially important not to blindly deploy capital, according to Peter Hancock, President and CEO of major global insurance firm American International Group (AIG).
Speaking at a Deutsche Bank conference recently, the AIG CEO explained that in the currently softening insurance and reinsurance market, as pricing begins to deteriorate, AIG is particularly conscious about ensuring that its capital is put to work for a good return for its shareholders.
“We’ve been writing a lot less U.S. property cat, because the pricing environment has been severely impacted by lower prices in the reinsurance market,” Hancock explained to questions from analysts at the event.