Guy Carpenter

Reinsurers are less worried about their property books compared to last year, and eyeing development of casualty loss costs due to social and macroeconomic inflation.

Loss-free accounts were generally up 20%-50% at renewal, the reinsurance broker said.

A Guy Carpenter report recently noted that risk models are converging for the most remote risk levels.

The broker named Matthew McCabe as MD of cyber broking with a brief to tackle complex cyber issues.

The structure envisages bringing in philanthropic capital to provide project funding to mitigate disaster risk as part of ILS deals.

The executive will report to president and CEO Dean Klisura.

Analysis showed a modelled loss range of between $15.6bn and $33.4bn for a 1:200-year global loss event.

The cat bond market is thought likely to receive an outsized portion of any capital inflows.

The broker said this was not yet a settled market as work remained underway.

Tension is emerging at the reinsurance level over the retrenchment from all-perils coverage, which previously offered ‘sleep-easy protection’. 

Reinsurers and brokers alike have warned of a rocky 1 January renewal process ahead as the industry grapples with multiple issues including inflation, climate change and geopolitical uncertainty.

The broker said some reinsurers were planning for significant growth in property catastrophe as demand is expected to pick up pace.