Bermuda re/insurers post strong results on favourable cat loss experience

By added on 22/04/2014

The Association of Bermuda Insurers and Reinsurers (ABIR) has released the 2013 global underwriting results for its member (re)insurers. 18 of its 21 member (re)insurers participated in the 2013 report. The companies write insurance and reinsurance from underwriting centers in Bermuda, Europe, Asia, and North and South America, reports the Insurance Journal.

“The 18 (re)insurers wrote US$70.1 billion (US) in global gross written premium (up from US$66.4 billion in 2012) on a capital and surplus base of US$95.4 billion (up from US$95.2 billion in 2012),” the report said. “The reported net income of nearly US$11.7 billion was up from US$9.4 billion in 2012. The gross premium to equity ratio for the group remained at .7 to 1.

The ABIR’s president and executive director Bradley Kading commented: “The US$11.7 billion in net income demonstrated earnings power during a year characterized by low catastrophe losses. But this number was still below net income reported by the membership in 2009.

“ABIR members reported their largest group total equity base in the eight years in which data has been collected, even though the number of members reporting was reduced by one due to an acquisition completed in 2013,” Kading noted. “ABIR members have welcomed the interest of alternative capital providers including pension funds into the risk taking business and have focused in 2013 on expanding markets given the availability of new capital in taking on insurance and reinsurance risk,” he added.