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Grim picture for January 1 property reinsurance renewals

September 30, 2022

Property reinsurance renewals at mid-year 2022 “experienced significantly tighter conditions” than the renewals at January 1, according to Guy Carpenter.

The Guy Carpenter US Property Catastrophe Rate on Line Index – a proprietary index of rate-on-line movements on brokered excess of loss placements – increased by nearly 15% year-on-year in the July 1 renewals.

“One of the factors impacting the degree of movement in price was tightening supply,” said Lara Mowery, global head of distribution, Guy Carpenter. “[at mid-year 2021], abundant capacity to foster an overall environment of stability for property renewals. This, however, has not been the case as we moved further into 2022.

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