Claims and losses

The carrier took a net EUR838mn of cat losses in the full year.

Just under half of the $8mn cat losses stem from insurance books FedNat is running off, with reserve strengthening impacted by 2020 reinsurance gaps.

German actuarial firm Meyerthole Siems Kohlruss warned the losses represented a “turbulent” start to the year.

The final bill is likely to be higher as further damage occurs due to gusts of wind.

European windstorm cat bonds mainly cover the less-affected countries of the Netherlands and France.

A similar ‘day of reckoning’ could befall many other carriers as 1.6 approaches, the ratings firm said.

The firm’s worldwide cat top layer grew by 75%, but its “top or drop” limit declined 25% and aggregate deductibles increased.

AIG took losses of $28mn for the year from its holding in AlphaCat managed funds.

The Global Insurance Report from McKinsey sets out industry mega trends, including the proportion of listed carriers that have traded at below book value in recent years.

The impact on different perils should be distinguished, the advisory firm noted.

Lancashire posted heavy losses in its Q4 result and said its ILS capital is down materially.

Scor’s renewals update denotes a continued push to control volatility while Hannover Re is focused on growth.