As we’re heading towards 2020, the re/insurance industry evaluates the challenges and the evolution ahead. Swiss Re, for example, considers that the asset side will no longer have an impact. There is, also, the threat of inadequate pricing, mostly in the CEE countries.
“I think, looking at the macro environment we are in as a financial industry, one of the key challenges for us as insurance and reinsurance is clearly that the asset side will no longer contribute in any form of significant to our overall margins on the business. We, as an industry, need to make sure that we generate profits within our insurance business, because the asset side will not help us on mitigating deficiencies in insurance results”, states Christian KREUTZER – Market Head ACEE & Transaction Lead NCEE, Swiss Re.
“It is crucial, from the underwriting side, that the underlining exposures we are taking in our books, both on treaty and facultative, are adequately priced. And, when I look at the facultative business, from CEE in particular, I often see inadequate premiums in almost all markets”, also highlights Ralf MULLER – Head Facultative Property & Casualty CEE, Swiss Re.
Swiss Re believes that this renewal season will be affected not only by the inadequate pricing, but also by low yields and the current situation in the CEE countries…