Global Reinsurance Market Report and Forecast 2024-2032

Global Reinsurance Market Outlook

The global reinsurance market size reached approximately USD 458.72 billion in 2023. The market is estimated to grow at a CAGR of 5.7% in the forecast period of 2024-2032, reaching a value of around USD 761.93 billion by 2032.

Key Trends in the Market

Reinsurance is a contract established between insurance (ceding company) and reinsurance companies through which the ceding company transfers some of its insurance-related risk to the reinsurer. Reinsurance covers an insurer against liabilities and offers more reliability and security on their equity.

• Growing usage of reinsurance in stabilising heavy loss of an insurance company, due to an increasing number of claims made in a short amount of time, is one of the prominent reinsurance market trends. This generally happens during times of natural disasters such as earthquakes, hurricanes, or floods, among others, when many policyholders wish to stake their claim.

• Reinsurance improves the goodwill and reputation of an insurance provider by ensuring they possess the necessary financial means to back their client’s claims. This improves the value of insurance companies as well as aids them in gaining more clients.

• Increased integration of generative AI tools and technology for drafting reinsurance contracts and mitigating the overall time required to finalise a functional contract also provides impetus to the reinsurance market growth.

• Strategic efforts by market players to launch innovative reinsurance schemes are also a crucial trend fuelling the market growth. For example, in December 2023, One Acre Fund launched a reinsurance fund scheme to safeguard around 1 million small-scale farmers during the climate crisis.

Market Analysis

Based on type, the market is bifurcated into facultative reinsurance and treaty reinsurance. On the basis of application, the market is divided into property and casualty reinsurance and life and health reinsurance. The reinsurance market segmentation, based on distribution channel, includes direct writing and broker. The major regional markets of reinsurance are North America, Europe, the Asia Pacific, Latin America, and the Middle East and Africa.

The comprehensive EMR report provides an in-depth assessment of the market based on the Porter's five forces model along with giving a SWOT analysis. The report gives a detailed analysis of the following key players in the reinsurance market, covering their competitive landscape and latest developments like mergers, acquisitions, investments, and expansion plans.

• Münchener Rückversicherungs-Gesellschaft Aktiengesellschaft

• Swiss Re AG

• Berkshire Hathaway Inc.

• Everest Group, Ltd.

• SCOR SE

• China Reinsurance (Group) Corporation

• Hannover Rück S.E.

• Canada Life Assurance Company

• Reinsurance Group of America, Incorporated

• RenaissanceRe Holdings, Ltd.

• PartnerRe Ltd.

• Others

Market Share by Type

Treaty reinsurance occupies a significant portion of the reinsurance market share, due to the growing demand for risk sharing in insurance companies to impede the overall risk to an insurance company and ensure that policyholders are protected. It also improves the cost efficiency of a ceding company by reducing its overall administrative and operational costs.

Furthermore, treaty reinsurance enables the transfer of a significant portion of risks to the reinsurers, and minimises the potential volatility of insurers, fuelling the segment growth.

Market Share by Region

As per the reinsurance market analysis, the Asia Pacific accounts for a substantial share of the global market, owing to the presence of the fast-growing insurance markets, China and India, in the region. The rising prevalence of natural disaster cases in the APAC market also provides ample opportunities for market expansion.

Singapore and Hong Kong have further established themselves as a prospective market for reinsurance, due to their well-established financial infrastructure. The emergence of coverage related to casualty, climate crisis, property, and cyber fraud is also a key contributor to the regional market growth.

Competitive Landscape

Münchener Rückversicherungs-Gesellschaft Aktiengesellschaft, commonly known as Munich Re Group and incorporated in 1800, is a global insurance company based in Munich, Germany. Its comprehensive range of solutions includes data analytics for a life insurer, MIRA digital suite, digital underwriting and advanced analytics solutions, solutions for finance risks, and solutions for the healthcare sector.

Swiss Re AG, established in 1863, is one of the largest reinsurance companies, headquartered in Zurich, Switzerland. The company implements sustainability in its business operations to make them more resilient. It consists of businesses such as life and health reinsurance, property and casualty reinsurance, public sector solutions, and corporate solutions, among others.

Berkshire Hathaway Inc., founded in 1939, is a provider of insurance and reinsurance, with its headquarters in Nebraska, the United States. The company is acclaimed for its top ranking in Forbes Global 2000 on account of its high market value. Two of its primary insurance brands are GEICO and General Re., a reinsurance firm.

Other reinsurance market players include Everest Group, Ltd., SCOR SE, China Reinsurance (Group) Corporation, Hannover Rück S.E., Canada Life Assurance Company, Reinsurance Group of America, Incorporated, RenaissanceRe Holdings, Ltd., and PartnerRe Ltd., among others.

Key Highlights of the Report