Magazine Table of Contents
The Asian way of doing business based on long-term relationships is well known and is lauded in many places where mutual trust and respect is accorded more importance than short-term financial gains. Likewise, in reinsurance, relationships between insurers, brokers and reinsurers are strong but as the marketplace changes, the concept of relationship has evolved too. Eleven reinsurance leaders look at the current status of relationships in the region in a roundtable organised by Asia Insurance Review, applauding its warm spirit but yet stressing that a balance is still needed between relationships and getting the necessary returns on capital.
Relationships continue to play a major role in Asia’s reinsurance industry. At a recent roundtable organised by Asia Insurance Review on the ever-changing reinsurance landscape in the region, 11 industry leaders in the region consisting of six reinsurers and five reinsurance brokers discussed the growth and sustainability of the business with a focus on the evolving status of relationships and the impact of price. The roundtable members shared how the concept of relationships has changed over the years, and agreed that today the pressure is on for the need to strike a balance between relationships and getting the necessary returns on capital. Gone are the days when reinsurers wrote businesses only because of relationships. The right risk adequate pricing is part of this balance.
By Benjamin Ang
The crowd was strong – about 2,600 reinsurance industry professionals attended the 56th Rendez-Vous de Septembre – meetings took place, messages were communicated, and the reinsurance world is bustling again after a traumatic 2011. Most reinsurers have consolidated their positions, capital is flooding in again, rates are holding. So all is well again, isn’t it?