Reinsurance Association of America (RAA) president Frank Nutter comments on the evolution of the “blended model” in reinsurance with alternative capital contributing to the way reinsurance provides capacity to insurance companies, not just in the catastrophe area. He sees reinsurance companies diversifying into the insurance business, viewing capital markets as “largely competitive…and complementary.” Mr. Nutter admits that reinsurers have struggled …

2017 has been a very active year for catastrophes…and traditional seasons are shifting. That according to Sean Kevelighan, President and CEO of the Insurance Information Institute (I.I.I.). Mr. Kevelighan points to 367 tornadoes in the first quarter of 2017, which surpasses the average of 93 by a large margin. The I.I.I. had estimated an active hurricane season, and forecasts were …

Frank Nutter, President of the Reinsurance Association of America (RAA), says the reinsurance market has not changed much in previous years.  “Capacity exceeds demand…It’s a buyer’s market.” Reinsurance brokers report that the “rate threshold” has not been reached as of January, and probably won’t be for the foreseeable future. He believes that even a major catastrophe probably would not likely …

WRIN.tv speaks with Arthur Dougherty, SVP at Holborn, about new technologies, terror risk and emerging markets in cyber risk, flood and mortgage insurance. Hurricane Matthew could have had a big impact on the reinsurance market, but it changed course and the size of the loss will not have an effect on the market. While some cedents may have significant losses, …

Monica Ningen, Head Property Underwriting US & Canada at Swiss Re, discusses how Hurricane Matthew served as a reminder for insurers. She also addresses the Protection Gap and product development and distribution strategies evolving in the insurance and reinsurance market. Hurricane Matthew, while not as big a loss as was predicted, was a reminder that a big event is possible. As a …

The top three challenges facing reinsurance underwriters today are too much supply versus demand, new technology and data, and cyber risk. That, according to Martin Neuhaus, Chief Underwriting Officer of the Reinsurance Division at Munich Re America. Mr. Neuhaus says the oversupply of capital demands discipline from underwriters, and new technology and the amount of data now available require underwriters …

WRIN.tv spoke with Munich Re America’s Michael Quigley, Head of Property Underwriting, and Stephan Hochburger, SVP & Client Executive, about threats and opportunities in insurance and reinsurance. In the current environment, Mr. Hochburger sees the biggest threat to insurers and reinsurers low interest rates and excess capital, as well as lower reserve levels. “Digitalization” is a new threat, but it …

The 2016 Monte Carlo Rendez-vous drew many of the industry’s top reinsurance professionals to discuss the state of the market. The top ratings agencies also released their verdict on the market. A.M. Best maintained its negative outlook due to weak operating fundamentals exacerbated by continued weakened demand from primary insurers as they retain more business to leverage their own excess capacity. According to …

More than 60,000 homes have been damaged in 20 parishes impacted by recent flooding in Louisiana. According to Louisiana’s Office of Homeland Security and Emergency Preparedness,  75% of homes are a “total loss” in Livingston. U.S. flood events are largely paid for by the FEMA’s National Flood Insurance Program (NFIP) and applicable primary insurance. The office of Louisiana Governor John Bel Edwards …

A.M. Best Assistant Vice President Greg Reisner discusses the rating agency’s ‘negative’ outlook for the global reinsurance sector and the new realities facing the market due to convergence capital and mergers and acquisitions. According to Best’s Assistant Vice President William Pargeans, the life reinsurance segment outlook remains ‘stable’ despite consolidation that has left the market top heavy with lower cession …

Steve Eilers, Manager of Gen Re’s L.A. operation, speaks with WRIN.tv about the property facultative reinsurance market, the tropical storm season and government insurance programs. He says market conditions in the property fac market are “competitive.” Mr. Eilers says Gen Re is seeing clients take more net in treaties, which is creating opportunities in the fac market. He sees ceding …

James Vickers, Chairman of Willis Re International & Specialty, speaks with WRIN.tv during the 2015 IIS Global Insurance Forum on the impact of regulation, Solvency II equivalency and CommFrame. Mr. Vickers sees Solvency II equivalency as helpful for a number of regimes. He believes regulation is necessary, but commonality will make the load lighter. Mr. Vickers feels CommFrame is noble …

Brad Kading, President of the Association of Bermuda Insurers and Reinsurers (ABIR) spoke with WRIN.tv during the 2015 Global Insurance Forum in New York, about Solvency II equivalency and opportunities from new capital. The EU’s endorsement of insurance rules in seven countries, including the U.S., Switzerland and Bermuda , is very important for Bermuda. Mr. Kading says achieving equivalency because …

Dinos Iordanou, Chairman, President and CEO of Arch Capital, speaks with WRIN.tv during the recent IIS Global Insurance Forum, about the impact of new capital in the industry. He says the influx of capital into the reinsurance sector over the past few years has affected the cost of insurance. While it is good for the consumer (providing a less expensive …

Bryon Ehrhart, CEO of the Americas at Aon Benfield, speaks with WRIN.tv about the issues affecting alternative capital in the reinsurance market during the recent S&P Insurance Conference. He says the growth in alternative capital has been driven by clients seeking to diversify their sources of catastrophe risk capital and met with investors looking to diversify their investment return. There …

WRIN.tv spoke with Hannover Re Chairman and CEO Ulrich Wallin at the S&P Insurance Conference about recent developments in insurance linked security (ILS) market, alternative capital, and Hannover Re strategy for continued growth. Hannover Re recently participated in two ILS transactions including the Massachusetts Property Insurance Underwriting Association (MPIUA) and Texas Windstorm Insurance Association (TWIA). Mr. Wallin says Hannover Re is …

In this edition of WRIN.tv’s Reinsurance Today, host Frank Nutter, President of the Reinsurance Association of America (RAA), welcomes Mr. John Bender CEO of Allied World Re to discuss opportunities in the reinsurance market, including emerging risks such as cyber and “green technologies, alternative capital and Asia. “On the insured level, there are a number of opportunities for growth and …

The Organization for Economic Co-operation and Development (OECD) published its Base Erosion Profit Sharing (BEPS) action plan in July 2013 to address perceived flaws in international tax rules. The Plan was endorsed by G20 with implementation to be completed by the end of 2015.   WRIN.tv spoke with John O’Leary, a Tax Partner in Financial Services at PwC, to gain some …

At the 2015 European Insurance Forum, WRIN.tv spoke with Charles Goldie, Deputy CEO of the Global Non-Life operations at Partner Re, about major issues affecting reinsurance today, and where he sees opportunities for growth. Mergers and acquisitions are among the top issues affecting the reinsurance industry today, Mr. Goldie says, due to the amount of capital coming into the industry. …