Japan casualty reinsurance renewals saw largest hikes on April 1
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Casualty reinsurance renewals in Japan saw the largest increases at April 1 while property markets were less challenged than in last year’s renewals, according to a report Tuesday from Gallagher Re, the reinsurance business of Arthur J. Gallagher & Co.
General third-party liability excess of loss accounts with no loss emergence saw increases of 10% to 30% while those with loss emergence were somewhat higher at 20% to 30% increases, report data showed.
U.S. liability renewals saw smaller changes, with no loss emergence accounts flat to down 10% and loss hit accounts flat to up 10%, according to the Gallagher Re report.
Property markets showed less drastic changes, with loss free accounts renewing flat and even down in some cases while reinsurer appetite to write catastrophe business outstripping demand, leading to “some reinsurers disappointed with signings,” according to the Gallagher report.
U.S. property renewals, a smaller portion of the April 1 business, saw larger rate increases, with risk loss hit accounts up 5% to 25% and catastrophe loss hit accounts up as much as 20%, according to report data.
James Vickers, London-based chairman international, reinsurance, at Gallagher Re, said that reinsurers had a profitable 2023 and overall sector capital had grown, leaving many reinsurers with an increased risk appetite at April 1 renewals.
