A recent gathering of prominent reinsurance executives at the RVS in Monte Carlo revealed a shared perspective on the market's stability concerning attachment points and contractual terms. Leaders from Everest Re, Liberty Mutual Reinsurance, and Mapfre Re conveyed confidence that these conditions are likely to persist as the industry gears up for the critical January 2026 renewal cycle. Their discussions underscored a collective commitment to rigorous underwriting practices, particularly regarding risk retention levels and pricing strategies, aiming to foster a sustainable equilibrium between assumed risks and potential rewards. This unified stance signals a mature and disciplined approach in anticipation of future market dynamics.
During a comprehensive panel discussion organized by Aon’s Reinsurance Solutions, moderated by Alfonso Valera, CEO of International, key industry figures shared their insights. The panel featured Dieter Winkel, President of Liberty Mutual Reinsurance; Jill Beggs, Executive Vice President and CEO of Reinsurance at Everest; and Miguel Rosa, CEO of Mapfre Re. A central theme of their conversation was the imperative of upholding strict underwriting discipline, especially concerning the levels at which retention is set and the methods used for pricing. These senior executives articulated a strong belief that the current frameworks within reinsurance are robust, providing a viable balance that supports both risk mitigation and profitable returns for participants.
Dieter Winkel of Liberty Mutual Reinsurance emphasized the ongoing significance of retention levels and the scope of frequency covers within the market. He elaborated that, over the past couple of years, the market has diligently worked to elevate deductibles, primarily to circumvent losses that were not adequately priced for previously. Winkel pointed out that numerous unpriced losses, such as those stemming from Silent Cyber or unmodeled events, prompted insurers to re-evaluate their recovery strategies and consider lowering their deductibles. This recalibration, he suggested, brings the focus back to the pricing environment, particularly for specialist markets keen on covering lower layers of risk. These markets are encountering increased retained exposure from clients, highlighting that the challenge isn't insurability itself, but rather establishing appropriate pricing for the inherent risk, especially as the risk at the lower end has significantly escalated over time due to the prevalence of diverse loss types.
Miguel Rosa from Mapfre Re echoed these sentiments, fully aligning with Winkel's observations. He highlighted that, particularly within the European market, profitability has been a long-standing concern, though prospects for improvement by year-end looked promising if no unforeseen events occurred. Rosa stressed the extensive efforts undertaken to establish robust structures and secure adequate premiums to compensate for the risks assumed. He specifically called attention to secondary perils, a topic also emphasized in the previous year, as a persistent issue. For Mapfre Re, maintaining discipline in retention levels and ensuring premiums accurately reflect the risk exposure remains crucial for managing these challenges effectively.
From Everest Re's perspective, Jill Beggs reinforced the stability of terms, conditions, and attachment points, expressing confidence that this trend would extend into 2026. She reiterated the company's continuous pursuit of a sustainable balance between risk and reward, a balance that must endure over the long term. Beggs concluded that Everest Re feels optimistic about the current state of attachment points and terms and conditions, expecting this favorable environment to continue.
The collective insights from these leading reinsurers paint a picture of a market committed to discipline and sustainability. As the industry moves towards the January 2026 renewals, the focus remains on carefully calibrated attachment points, robust terms, and pricing strategies that accurately reflect the evolving risk landscape. This strategic consistency is vital for maintaining a healthy and resilient global reinsurance market, ensuring that both reinsurers and their clients can navigate future challenges with confidence.
