(Financial) services Swiss Re expects rising demand for reinsurance

Swiss Re anticipates growing demand for reinsurance cover. In particular, demand for cover in property and specialty lines is expected to increase.

Swiss Re sees increased demand in the area of property reinsurance in particular, as the reinsurer announced at the "Rendez-Vous de Septembre" industry meeting in Monte Carlo on Monday. In particular, higher property values, urbanization and rising repair costs due to inflation are driving demand.

Swiss Re also expects above-average insured losses from natural disasters again in 2024. In the first half of the year, losses amounted to USD 60 billion, which is 62% above the ten-year average.

In engineering reinsurance, demand will be boosted in particular by renewable energy projects. Swiss Re also expects growth in the cyber reinsurance market, as awareness of the frequency and sophistication of cyber attacks has increased.

"The key issues facing the industry are largely the same as last year, but as the challenges have intensified, demand has increased," Urs Baertschi, Chief Executive Officer Property & Casualty Reinsurance at Swiss Re, was quoted as saying in the press release. In view of increased natural catastrophe risks, economic uncertainty and geopolitical instability, primary insurers are relying more heavily on reinsurers for protection, the statement continues.

SDA