The supply-demand balance for global non-marine retrocession continued to tilt in buyers’ favour, as cedants were presented with opportunities to expand their retro purchases at the mid-year reinsurance renewals and some market participants took a commercial view on collateral trapping, according to Gallagher Re.
As per the reinsurance broker’s 1st View report, occurrence retrocession excess of loss limits were broadly up at the renewals, alongside a notable increase in the number of aggregate and frequency covers being explored and purchased, with buyers aiming to manage frequency risk across the second half of 2025.
“Market supply remained adequate, as reinsurers’ growth ambitions combined with increasing confidence in California wildfire reserves to drive increased appetite from incumbent markets,” Gallagher Re added.
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