Baden Baden Headlines 3: CEE insurance markets are attractive for reinsurers

25 October 2017 — Vlad BOLDIJAR
  • Central and Eastern Europe insurance markets are an important source of business for Lloyds, total premium income from this region increasing by EUR 64 million since 2010, pointed out the Lloyd's representative in a seminar dedicated to CEE insurance markets: "We are seeing strong growth from Czech Rep, Poland, Slovakia and Ukraine. At the same time are some contractions from Russia, Bulgaria, Romania and Hungary due to challenging trading conditions as political implications and other sanctions".
  • The agricultural insurance market in CEE is estimated at about EUR 300 million, of which EUR 100 million - the Polish market, according to a presentation made by GENNILARD&CO at Lloyd's seminar dedicated to CEE markets. "Is a huge protection gap. The penetration rates are very low, to zero in some markets. Agricultural insurance is unpopular, due to limited scope and availability".
  • London Market Group - LMG launched the firs-ever campaign to promote the capital city of UK as the world's insurance hub. The campaign slogan is "London makes it possible", and provides "buyers with clear case for coming to London to solutions to the risk they face", LMG representatives said quoted by Insurance Day.
  • Lloyd's revises hurricane loss to USD 4.8 billion as follow: USD 900 million - impact of hurricane Maria, while the estimates for the other two (Harvey and Irma) reduced by 10% USD 3.9 billion.
  • Swiss Re's Nicola RAUTMANN, Market Executive Austria & CEE, told Reactions the CEE property reinsurance market is competitive because is attractive to global reinsurers as a diversifying region from a nat cat perspective.
  • Jorg BRUNIECKI, Head of Global Client and Broker Management, PartnerRe told Insurance Day that, that the recent hurricane season underlined the extend of the protection gap in one of the richest parts of the world. "The problem of underinsurance remains difficult to solve for political reasons. Forcing individuals to purchase insurance by legislative means risks making insurance premium seem like a new tax".
  • More than one third of businesses (~38%) in EMEA region experienced a genuine cyber loss in the past 24 months, averaging USD 3.3 million - but only 15% of their probable maximum loss is covered by insurance, according to a survey of 500 businesses made by AON in collaboration with Ponemon Institute.
  • The reinsurance market of Africa is expected to return on growth in 2018, after that in 2016, the insurance market declined by more than 15% to USD 61 billion amid the depreciation of a lot of key African currencies against USD. In local currencies, most of markets continued to grow. Overall, the African reinsurance market is around USD 7 billion.
  • AXIS Capital has appointed former Swiss Re senior executive Steve ARORA as the chief executive of its reinsurance business. He will begin his new role in January 2018 and will be based in Zurich.
  • Jamie SANDERS, a former director of the UK's National Cyber Crime unit has joined MARSH London team as Cyber Risk Consultant.
  • Ludger ARNOLDUSSEN (ex MUNICH Re management board member) has joined modelling company RMS as senior managing director within the company's client service organisation
  • Lloyd's insurer BEAZLEY named David Roberts as its new Chairman. He will join the company on November 1.