Rates

US property insurers are pushing for base case rate increases of 10-20 percent on catastrophe-exposed business, even for loss-free accounts, according to a client advisory from broker Lockton

Cat bond rates have only increased slightly for remote risk layers following the third quarter losses from hurricanes Harvey, Irma and Maria and the Mexican earthquakes, GC Securities estimated

At this point there are a lot of questions being asked in the reinsurance markets and few definitive answers available. As it is a journalist's privilege to ask questions, let's go through some on the list

The 2017 catastrophe events have highlighted the extent to which ILS managers are benefiting from industry loss warranty (ILW) hedging, but market sources have questioned where the losses will ultimately fall as more clarity is gained over HIM claims in months to come

Expectation for substantial price increases following the recent catastrophes may be overly optimistic, in part due to an influx of alternative capital into the industry, according to analysts on an S&P panel at the Bermuda Reinsurance Conference.

Reinsurance pricing seems to rely on a certain amount of collective signalling in as much as it does number-crunching - as underwriters gauge how far they can push rates without losing business, by looking for fear in the eyes of their opposition

Munich Re's reinsurance combined ratio spiked up to 160.9 percent in the third quarter after it took EUR3.2bn of pre-reported major claims

Regular ILS sponsors USAA and XL Catlin have topped up their cat bond cover in the first transactions completed after the 2017 hurricane losses, with pricing on the deals showing an increase in rates.

Swiss Re said it would proceed with a CHF1.0bn ($1bn) share buyback programme after taking $4.0bn of catastrophe claims in the first nine months of 2017

Soft market conditions may have set the scene for longer potential collateral lock-ups after hurricanes Harvey, Irma and Maria, but early negotiations on settlements are still likely, market observers said

The 2017 catastrophe losses may have come at a time when reinsurers' margins are suffering after years of rate cuts, but the industry's capital position is stronger than at any time since the 1970s, says JLT Re's global head of analytics David Flandro.

Reinsurance rates may shift at 1 January if a reasonable percentage of the ILS industry's $80bn capital is trapped, according to Rob Procter, CEO of Securis Investment Partners