The hard reinsurance market in property-catastrophe reinsurance isn’t coming to an end at Jan. 1, 2024, but reinsurers are likely to deploy more of their capacity next year, broker executives said recently.
Dorothée Mélis-Moutafis, North American brokering executive at Guy Carpenter, predicted “hard but more manageable renewals for cedents at January 1,” crystallizing a theme expressed by other speakers from her firm and by leaders of various divisions of competitor firm Aon.
In the days leading up to the Rendez-Vous de Septembre earlier this month, executives from both firms said they foresee 1/1 renewals next year being more orderly than they were last year. But they also believe that primary insurers will continue to be stuck with lower layers of catastrophe programs than they were able to transfer to the reinsurance market before 2023. Capacity will increase only up top, they said.