Negative outlook for Jan 2019 renewal
Tuesday, 07 24 2018, Category: Insurance and Reinsurance, Country: World
Analysts at Deutsche Bank have conclude in a new report that the reinsurance renewals so far this year show that reinsurer pricing power is gone and that price increases seen are insufficient to reimburse reinsurers losses, suggesting a negative outlook for the next major contract signings in January 2019.
Pricing has lost all steam as we headed through the mid-year 2019 renewals, Deutsche Bank analysts believe.
“We do not expect pricing for July renewals to gain significant momentum from here, which suggests that pricing will be insufficient to reimburse for 2017 hurricane losses,” the analysts explained.