Catastrophe bonds remain one of the bright spots in the ILS market, said AM Best Managing Director Emmanuel Modu, referencing a new Best's Market Segment Report.
Traditional reinsurance capital declined from $475 billion at year-end 2021 to $411 billion at year-end 2022, said Dan Hofmeister, senior financial analyst, AM Best.
Munich Re held on to the top spot of AM Best's "World's 50 Largest Reinsurers" list in 2022, followed by Swiss Re, Hannover Rück SE and Canada Life Re, the same as in 2021, said Christopher Pennings, financial analyst, AM Best.
The industry remains well capitalized and is dominated by the large global players, but faces incremental competition from shifting business models, said Edward Kohlberg, director, AM Best.
Underwriting losses and poor investment returns dragged the large Asian reinsurers’ 2022 operating performance, said AM Best Senior Director, Head of Analytics, Christie Lee and Associate Director, Analytics, Chris Lim.
