Concerns that the Baltimore bridge collapse could result in the marine reinsurance market's largest ever loss were largely put aside during the January renewals due to prevailing supply-demand dynamics.

American Coastal Insurance Corporation bought a new catastrophe aggregate program at 1 January providing $40mn of limit with a $20mn per occurrence cap, while also renewing its all other perils cover providing up to $90mn of occurrence limit above a $10mn retention.

Cyber reinsurance capacity increased at the 1.1 renewals while demand was flat to down, leading to excess of loss rate reductions and higher quota share commissions, while there was also greater confidence around systemic risks, reinsurance brokers have reported.

Although Canadian property reinsurance prices were expected to rise significantly after the country's worst ever year for catastrophe losses, outcomes showed some variation at 1.1 according to various reinsurance broker reports published since.

Paris-headquartered CCR Re has confirmed the successful renewal of its 157 Re collateralised reinsurance sidecar.

Shares in major Bermudian and European reinsurers have risen since the 30 December close, reflecting positive near-term sentiment for the sector despite rate reductions and broker warnings that reinsurer appetite is growing faster than demand.

Australian insurer IAG has placed its catastrophe reinsurance program for the 2025 calendar year, which provides a main catastrophe cover for two events up to A$10bn ($6.28bn).

Following a 1.1 renewal at which the favourable trends that first emerged last year were maintained with more than adequate capacity across most business lines and regions, Aon has said the industry has begun 2025 “in a strong position”.

Investment bank Peel Hunt has factored in reinsurance rate declines of around 35 percent over the next five years in its estimates as a "prudent" quantum of the softening cycle.

Reinsurers should be careful of having “too much of a good thing” and instead focus on being “reliable partners” in volatility management of catastrophe risk for their primary insurance clients, according to Guy Carpenter’s John Trace.