QBE's underwriting profitability to moderate on reinsurance costs

U.S.-based Fitch Ratings Inc. said that Australia-based QBE Insurance Group Ltd.'s underwriting profitability is expected to moderate over the next six to 18 months due to inflationary pressures and higher reinsurance costs, Asia Insurance Review reported. QBE said that while rate increases have exceeded inflation in most business classes, the insurer is nonetheless likely to strengthen claim reserves for long-tailed lines.