OLDWICK, New Jersey – (COMMERCIAL THREAD) – Global reinsurers have weathered the impacts of the pandemic well, but among other growing challenges brought on by climate risk, social inflation and other kinds of perils, companies must maintain an innovative mindset , according to a new AM Best report capturing the views of panelists from a recent reinsurance industry briefing.
The Best Market Segment Report, “Realistic Optimism in Today’s Reinsurance Market,” is based on a briefing in which a panel of analysts and industry executives from AM Best discussed how the pandemic and natural disasters have dominated recent claims, as well as pricing trends and underwriting discipline in an environment where risk is becoming more difficult to assess.
Providing market insight are two of the leaders in the reinsurance industry: Kathleen Reardon, CEO of Hiscox Re & ILS; and Juan Andrade, CEO of Everest Re Group; Topics covered included environment, social and governance (ESG), social inflation and opportunities for investors in insurance-related securities. Panelists were optimistic about the year ahead for reinsurers.
âCompanies with a good track record and good strategies will continue to attract capitalâ¦ From a reinsurance standpoint, this is the cheapest for almost a decade,â Reardon said.
AM Best senior manager Carlos Wong-Fupuy was also on the panel, along with scoring manager Stefan Holzberger, who moderated. The report highlights their views on how the market is focusing on technology and innovation, as well as adapting to changing and emerging perils. Regarding innovation, Andrade said that it is impossible to achieve this without the right company culture.
âInnovation is about the way you run a business,â Andrade said. ” That’s all. It’s about how you create efficiency in the business; it’s about how you create creativity among your people; this is how you develop new abilities. It’s the way you look to the future.
To access the full copy of this report, please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=312762.
To view the full AM Best briefing, please visit http://www.ambest.com/webinars/reinsurance21/index.html.
AM Best is a global credit rating agency, news publisher, and data analytics provider specializing in the insurance industry. Based in the United States, the company operates in more than 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.
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