Reinsurance rates to continue declines at mid-year
Monday, 03 07 2016, Category: Insurance and Reinsurance, Country: World
Analysts at Morgan Stanley have predicted further, albeit slower, reinsurance rate declines at mid-year as market headwinds persist. However, the firm does highlight an opportunity for insurers and reinsurers created by the flurry of merger and acquisition (M&A) activity witnessed in 2015.
The global reinsurance industry remains under significant pressure, and despite 2015 benefiting from a continuation of benign cat losses and reserve releases, Morgan Stanley highlights that market pressures will persist and earnings will likely continue to diminish.