Reinsurance deficit falls by 67%

T he US reinsurance deficit with the international markets was abnormally high at US$6.2bn in 1998. But as a result of a large increase in recovieres on its outward reinsurance account, the overall deficit fell to $2bn the following year. The latest reinsurance figures produced by the Bureau of Economic Analysis at the US Department of Commerce for the 1999 year of account show that while US insurers are placing more of their reinsurance in EU markets, Bermuda remains the most popular destination.