Europe’s big four reinsurers still on track to meet ‘ambitious’ 2025 targets, says Fitch
A recent report by Fitch Ratings says that Europe’s four biggest reinsurers – Munich Re, Swiss Re, Hannover Re, and SCOR – are still on track to meet their ambitious financial goals for 2025, even after taking a big hit from the January wildfires in Los Angeles. Together, the companies faced more than $2.5 billion in losses due to those wildfires. But despite that, their businesses are performing well overall. Strong profits from their property and casualty (P&C) insurance, improvements in life and health (L&H) insurance, and steady investment returns helped them stay on course. Fitch says their strong balance sheets and diversified sources of income are helping them stay resilient – and that they’re still in a good position to meet their targets for the years.
You can read the full article here: Reinsurance News article
Generali gets €200m of windstorm & earthquake reinsurance with return to insurance-linked securities market
The article discusses how Generali, one of Europe’s largest insurers, has secured €200 million in reinsurance coverage against windstorm and earthquake risks through a catastrophe bond. This marks Generali’s return to the insurance-linked securities (ILS) market after several years. The deal was structured to help the company manage natural catastrophe exposure in Europe and was arranged via Lion III Re DAC, a special purpose vehicle based in Ireland. The bond provides multi-year protection and reflects growing use of alternative reinsurance capital in risk management. Class A and Class B securities represent different levels of risk and return in catastrophe bonds. Class A securities carry lower risk and offer lower returns, as they are the first to absorb losses and are considered safer for investors. In contrast, Class B securities carry higher risk and thus offer higher returns, as they absorb losses before Class A, making them more vulnerable in a catastrophic event. In Generali’s recent cat bond issuance, Class A (€125 million) covers both windstorm and earthquake risks and offers a 5.5% return, while Class B (€75 million) covers only earthquake risk and offers a 6.0% return.
You can read the full article here: Generali gets €200m of windstorm & quake reinsurance with return to ILS market
Generali reports 8.6% rise in operating result for Q1’25 with strong P&C performance
Generali saw a strong first quarter in 2025, with its operating profit rising by 8.6% to €2.1 billion. This growth was mainly driven by strong performance in its Property and Casualty (P&C) insurance business. The P&C segment earned over €1 billion, up from €867 million a year earlier, and showed improved efficiency with a combined ratio of 89.7% (lower is better). While overall premiums stayed steady at €26.5 billion, the company saw a growth of 8.6% in P&C premiums, which helped balance a 4.5% drop in Life insurance premiums. Despite that drop, Generali still saw a 30%+ increase in new Life insurance investments (net inflows), especially in Italy and Germany. The company’s solvency ratio — a key measure of financial strength — also improved to 210%. Generali says it’s on track to meet its 2025–2027 goals, which include 8–10% yearly growth in earnings per share.
You can read the full article here: Generali reports 8.6% rise in operating result for Q1’25 with strong P&C performance
Life sector drives momentum in insurance expansion – Allianz
The article from Insurance Business reports on Allianz Research’s findings that the global insurance industry saw strong growth in 2024, with total premium income rising 8.6% to €7.0 trillion, driven primarily by the life insurance sector. Life premiums surged 10.4%, led by robust demand in North America and China, where high interest rates and growing annuity markets played key roles. Property & casualty (P&C) and health insurance premiums also grew, by 7.7% and 7.0% respectively, with Asia showing especially strong gains in health due to low existing penetration. Allianz forecasts continued industry growth at an average of 5.3% annually over the next decade, with life insurance expected to remain the main driver.
You can learn more in the full article: Life sector drives momentum in insurance expansion – Allianz
UK income protection demand soars as other products show mixed trends – Swiss Re
The article from Insurance Business UK discusses Swiss Re’s findings on the UK’s individual protection insurance market in 2024. It highlights an 18% surge in income protection policy sales, marking the strongest growth among protection products. This increase is attributed to consumers’ heightened focus on financial security amid economic uncertainties, including rising mortgage repayments. While income protection policies saw significant growth, other products like term assurance with critical illness benefits experienced a slight decline, and whole life policy sales decreased. The report suggests that economic factors, such as the maturation of low-interest mortgages from the COVID-19 era, may influence future demand for protection products.
For further details, see the full article: UK income protection demand soars as other products show mixed trends – Swiss Re
