REINSURANCE DEMAND RISES AT APRIL RENEWALS: WILLIS

Reinsurance rates continued to fall at the April 1 renewal, but demand for cover increased, according to the latest 1st View Reinsurance Renewals report from Willis Re. Overall, price reductions at the April renewal were marginally less than last year. However, while rates are under sustained pricing pressure, there are some encouraging signs of a slowdown in pricing deterioration, Willis said. Terms and conditions have remained largely stable, while demand for reinsurance is also picking up. A number of large insurers are purchasing more cover, both traditional and structured reinsurance, such as loss portfolio transfers and adverse development covers. “It is also becoming increasingly evident that although most reinsurers are accommodating client requests, many are now at the point where they are no longer prepared to grant any further concessions, irrespective of relationship considerations,” the broker said.