ABIR members’ GWP jumps by 18% in 2023
Bermuda re/insurers’ gross premium written jumped 18% in 2023, the Association of Bermuda insurers and Reinsurers said today.
The trade association said the report from 25 of the 31 member re/insurers generated GWP of more than $171 billion, up from $145 billion in 2022. In 2023, the Group’s total equity increased to $164 billion from $117.6 billion in 2022.
ABIR said its members reported net income of $32.3 billion, up from $5.1 billion in 2022, largely a result of an improved claims environment and increases in rates. ABIR analysis indicates 92% of gross written premium is attributed to publicly traded member companies.
ABIR said the global underwriting report results were affected by the acquisition of Validus by RenaissanceRe, and by the addition of Sompo International as an ABIR member in 2023.
Pina Albo, chair of ABIR and CEO, Hamilton, said: “The results of ABIR’s global underwriting report reflect strong and growing global demand for the risk-transfer expertise and robust capital base of ABIR member companies.
“Bermuda’s enduring relevance as a global re/insurance hub is testament to its world-class industry talent, innovative culture and internationally recognised regulator, unique attributes that enable the Bermuda market to deliver solutions to large and complex risks, with unparalleled speed to market.”
John M. Huff, CEO of ABIR, said: “ABIR is pleased to include Sompo International in its results for this year. The overall results demonstrate that Bermuda’s leading insurers and reinsurers continue to play a critical role in providing capital and capacity, innovative solutions for customers, and peace of mind for consumers around the world.”
ABIR said the The Bermuda market continues to diversify into growing specialty lines including cyber, mortgage, political and terrorism risk, transactional liability and financial lines coverage, building on the Bermuda market’s historic global dominance in property coverage.
It said its results were not directly comparable to previous years as some companies were reporting on an IFRS 17 basis while others were reporting on US S. GAAP, IFRS or Bermuda SAP basis.
ABIR said its underwriting data release came days after a report by AM Best, a global credit ratings agency, also highlighted the Bermuda market’s strength and growth, pointing out the island’s key role in an estimated 14% growth in global reinsurance capital in 2023.
Under the heading, “Traditional reinsurance capital grows as Bermuda thrives”, AM Best noted that “the bulk of capital growth was generated in Bermuda in 2023”, driven by the Group’s “robust operating returns”. The AM Best Bermuda Reinsurers Composite reported shareholders’ equity growth of 33.7% on a 23% average return on equity in 2023. AM Best noted that “Bermudian reinsurers on average outperformed all other segments of the global reinsurance market”.
Did you get value from this story? Sign up to our free daily newsletters and get stories like this sent straight to your inbox.
