Asia-Pacific Reinsurers Need Underwriting Discipline to Support Earnings, S&P Says

MT Newswires Live10-30

Controlled underwriting will be a major driver for anchoring Asia-Pacific reinsurers' bottom lines amid lower premium rates, S&P Global Ratings said in a recent release.

Heightened competition has tempered premium rates, with the difference between the underwriting margins of Asia-Pacific insurers and global rivals to continue tapering in the next two years, according to S&P.

Still, measures to control risk appetite and healthy domestic positions should aid underwriting margins, S&P said.

The rating agency cautioned against catastrophe loss shocks and capital market volatility as downside risks.

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