Fitch: Global reinsurer profit decline could affect rating
Friday, 08 26 2016, Category: Insurance and Reinsurance, Country: World
Underwriting profits for the global reinsurance sector declined in 1H16 while recent profitability for several companies fell to levels that could diminish their financial strength, according to a new global reinsurance mid-year 2016 report from Fitch Ratings. While the industry still reported an overall profit, profit levels were lower than 1H15.
"Global non-life reinsurance profits dropped on increased natural catastrophe losses and a higher underlying run-rate loss ratio, while life and health reinsurer profits held steady on higher net premiums," said Brian Schneider, Senior Director at Fitch.
The calendar-year reinsurance combined ratio of 92.7% in 1H16 is up from 88.3% in 1H15.
Source: Fitch Ratings