Hannover Re became the first of Europe’s big four reinsurers to post first-quarter results yesterday, with a combination of larger-than-expected major losses and reserving for Russia-Ukraine causing non-life earnings to miss consensus.
The European and US property casualty (re)insurance industry was caught up in the broad market sell-off in April, with shares for the majority of major carriers and brokers dipping on concerns about the speed of interest rate hikes, lockdown in China and the continuation of war in Ukraine.
Ascot is being marketed to potential bidders as a business “spring-loaded for continued profitable growth” by CPP Investments’ advisor Evercore, with managed premium forecast to grow to $6bn in the next four years, The Insurer can reveal.
Current forecasts point to an above-average North Atlantic hurricane season in line with activity levels recorded last year.
Funding for insurtech businesses slipped to $2.2bn in the first quarter, down from the record-breaking $5.6bn raised in Q4, as the number of “mega-round” deals fell while overall deal count was roughly flat, according to the latest Global Insurtech Report from Gallagher Re.
New capacity has piled into the environmental market in recent years, but observers expect an uptick in claim severity and frequency will keep rate rises at a stable level in 2022 or may even lead to slightly higher increases.
New proposed rules on special purpose acquisition companies (SPACs) from the Securities and Exchange Commission (SEC) will increase uncertainty in the already stressed D&O market for SPACs, and form part of a wider trend of greater enforcement from the regulator that underwriters expect will increase claims.
Construction clients continue to face price rises across most of the coverages they buy, albeit at a lessening pace, while brokers and underwriters that serve the market are cautiously optimistic about the opportunities that the newly struck Infrastructure Investment and Jobs Act will generate.
US D&O price increases are expected to moderate further this year as new capacity in the market is increasingly felt, with new players’ participating on excess layers having a knock-on impact throughout towers.
Intangible assets have a higher probable maximum loss (PML) on average than tangible assets but insurance coverage remains far higher for the latter, with businesses unprepared for cyber and intellectual property (IP) “black swan” events that are among their biggest risks, according to Aon.