Traditional reinsures are no longer in the driver's seat setting U.S. catastrophe reinsurance rates as the capital markets continue to pour money into alternative vehicles and putting downward pressure on rates, according reinsurance broker Guy Carpenter & Co.
In its latest review of the July 1 renewal season, Guy Carpenter says despite catastrophe losses of approximately $20 billion for the first six months of this year, U.S. catastrophe programs witnessed "significant decreases" in pricing.
The effect, says David Flandro, global head of business intelligence at Guy Carpenter, is property business in other regions and across some casualty lines are experiencing downward pressure as well. Without significant catastrophe losses, he expects the trend to continue through the remainder of the year.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
