A new report from the broker and consultant Aon, “Reinsurance Market Dynamics”, said that equity reported by global reinsurers rose to a new high of $602 billion at September 30, 2024, which was an increase of $40 billion relative to the end of 2023. This, it said, showcased a healthy market especially for investment returns. It said there were plenty of other areas for reinsurers to be investigating for further yield in 2025.
The positive numbers in 2024 were driven principally by strong retained earnings. “Unrealised gains on bonds contributing directly to equity also provided a tailwind, reflecting declining interest rates in the period. New start-up reinsurers remained absent in 2024,” it said.