Hannover Re Sees Continuing Trend Towards Rising Prices In Property And Casualty Reinsurance

(RTTNews) - German re-insurer Hannover Re AG (HVRRY.PK, HVRRF.PK) Monday said it anticipates a continuing trend towards higher prices and improved conditions in property and casualty reinsurance for the various rounds of renewals in 2022.

According to the company, the recent flooding seen in Europe and the considerable losses caused by Hurricane Ida have further increased the need for action on the part of reinsurers, along with pandemic-related costs and the low interest rate environment.

These has further heightened risk awareness among primary insurers, resulting in an added boost to demand for high-quality reinsurance protection.

The company noted that in the past rounds of renewals throughout 2021, it has already been able to secure improved conditions and higher prices.

For the treaty renewals as at January 1, 2022 in property and casualty reinsurance, Hannover Re expects the positive pricing trend to continue, especially in loss-affected lines and regions. The conditions are also likely to show further improvement on account of the considerable uncertainties, most notably in relation to future pandemics and cyber attacks.