Alternative reinsurance capital grew to $72bn in 2015
Tuesday, 04 05 2016, Category: Insurance and Reinsurance, Country: World
Total global reinsurance capacity declined by 2% last year, standing at $565 billion at December 31st 2015. However, alternative reinsurance capital continued to increase its share of the overall market during the period growing by 12% to $72 billion, according to reinsurance broker Aon Benfield.
Alternative reinsurance capital continued down its impressive growth path during 2015, increasing its share of the overall reinsurance market pie by a meaningful 12%, totalling an estimated $72 billion of the $565 billion global reinsurance industry capital-base, according to Aon Benfield’s latest Aggregate report.
The increase in alternative capital within the sector helped offset a 4% dip in traditional reinsurance capital during the twelve months of last year, which totalled an estimated $493 billion, “driven by the strengthening of the US dollar and the impact of rising interest rates on bond valuations,” said Aon.