Scott Hawkins, CEO of Munich Re Australia, sees three trends converging to continue a hard market in the reinsurance industry.

“Inflation, loss experience in natural catastrophes and the turbulence in financial markets are affecting almost every region and line of business,” he says.

“The current high inflationary environment is pushing up the cost of claims and driving an increased demand for coverage, which is putting additional demand on natural catastrophe capacity.”

He observes that in the past five years, there has been an increased loss burden on both the insurance and reinsurance industry from natural catastrophe claims.

An increase in the frequency and severity of weather-related natural catastrophes due to climate change will continue to drive the demand for reinsurance cover.

Premium

You need to login to access this

Login

What are CIP Points? About ANZIIF Membership