During the second half of 2020, global reinsurers reported anemic earnings amid an increase in coronavirus claims, although investment returns rebounded, Moody’s Investors Service reported.
A bright spot was strong pricing momentum and capital levels remains healthy, but a high degree of uncertainty remains, the analysts said.
“Global reinsurers reported a broad-based improvement in pricing, extending beyond previously loss-making lines of business,” according to Moody’s Vice President Christian Badorff. “Price increases in recent policy renewals are in the mid-to-high single digits on average, and significantly higher natural catastrophe-exposed business in the US and Asia-Pacific.”
