Don Bahr’s Post

While reinsurance property lines might still be enjoying hard market conditions, the situation for casualty re/insurers is more complex. Increased competition has driven rates down while loss costs, driven by economic inflation, social inflation, higher loss values and economic turbulence, have increased. The tailwinds carriers enjoyed are now turning – into noticeable headwinds. Meanwhile, concerns about adequate reserving are emerging as are worries over investment portfolios. Don Bahr and Alan Dowling are part of an upcoming Intelligent Insurer webinar that will examine the complexities of casualty business ahead of another renewal. Register here: https://bit.ly/3XUUgwj.

The 2024 property reinsurance market reflects more balanced conditions after last year's rate hikes and sharp capacity reductions. Though challenges remain, there's a silver lining to start the new year. Want to learn more about what this means for the industry? Check out this link: https://adobe.ly/4aHGwst #reinsurance #property #industryupdate

ANALYSIS: Weather, inflation, regulation and challenges in the reinsurance market are leaving many US carriers highly exposed to attritional losses. For some, the actions needed to get loss ratios back on track could include purchasing new forms of reinsurance. The Insurer

Higher prices and lower interest rates are drawing more capital into reinsurance, which can ultimately benefit home and auto policies. https://lnkd.in/gZQMhjA6

The Inflation Guy sometimes gets distracted by shiny things. Today, he was distracted by an article sent from a listener, detailing comments from the CFO of Travelers Insurance about the increased reinsurance the company is employing as a hedge against inflation risks to its property and casualty (P&C) businesses. This is an illuminating comment, showing both that (a) insurance costs are going up not just because insured property values are rising, but also because the cost of reinsuring is rising as inflation risks rise; and (b) major insurance companies are still not hedging inflation risk in P&C businesses with inflation hedges but rather through increasing reinsurance coverage. That's inefficient, and the Inflation Guy explains why. Insurance and inflation! What could be more interesting than combining those two exciting topics?   NOTES Article: Inflation on insured values main reason for Travelers extra reinsurance protection, says CFO Blog Post: Inflation Sherpa To Subscribe to Quarterly Inflation Outlook: https://lnkd.in/eNhpPMAB To Subscribe for free to the blog: https://inflationguy.blog/ Check out the website!: https://lnkd.in/eDA683EF

Higher prices and lower interest rates are drawing more capital into reinsurance, which can ultimately benefit home and auto policies. https://lnkd.in/gH2e-bPy

You need to know all the facts when it comes to running your business. This includes claims data, loss ratios, sales intelligence, and information on your reinsurance position. #EFGWalkTheWalk #WhyEFG #Reinsurance https://bit.ly/3kGyF9x

Mid-year renewals reflected a transitioning reinsurance market meeting demand in a dynamic trading environment. Loss-free property programs generally saw easing of pricing, even as demand increased. While casualty programs were also completed with adequate capacity, pricing and underwriting scrutiny persisted due to a variety of market trends. To view the complete mid-year renewal press release and additional insights, please visit our Renewal Resource Center. I invite you to enjoy this mid-year infographic! #midyear #reinsurance #guycarpenter

It's great to see publications such as The Insurer covering such an importance issue at such depth! "Weather, inflation, regulation and challenges in the reinsurance market are leaving many US carriers highly exposed to attritional losses. For some, the actions needed to get loss ratios back on track could include purchasing new forms of reinsurance." https://buff.ly/4e83D1a

■One of the particular difficulties of running an insurance company is that its financial results - and hence its profitability tend to be uneven from one year to the next. ■Since insurance companies generally want to produce consistent results, they may be attracted to ways of hoarding this year's profit to pay for next year's possible losses . ■Financial Reinsurance is a form of reinsurance which is focused more on capital management than risk transfer. ■what is Reinsurance Assets? ■Finite Risk Reinsurance! ■Run-Off Solutions... #Reinsurance #Financialreinsurance #fine #finitere #runoff 👇👇👇