Rates

Fermat’s John Seo said the industry can “see the wall of money coming in, but it’s coming in slowly”.

Prabis does not envisage market softening at this stage, for reasons including wider macroeconomic impacts.

The downgrades reflect the negative impact of challenging macro-economic trends on underwriting results and risk-adjusted capitalization.

Board members voted five to four in favor of rate increases but fell short of the two-thirds majority required.

The ratings agency is currently in discussions with Clear Blue’s management regarding the company’s ability to replace certain programs or letters of credit.

The CEO said Chubb has ‘never seen better pricing’ on primary property.

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

The firm’s 1st View report on the July renewals also flagged that an oversupply of ILW capacity may bring down attachment points relative to early 2023.

The carrier is increasing underlying rates to counter increased reinsurance costs and inflation.

Considering recent reforms, Citizens’ rates, on average, are still 58.6% below actuarially sound levels, but the inadequacy would have been 88.3% without them.

Some cedants paid more than 40% increases depending on Florida concentration and Hurricane Ian losses.

Even clean accounts in the admitted space are seeing rate increases of 15% year on year, while loss-hit accounts in Florida were slapped with a 100% rate increase for June 1.