Reinsurance companies based in Switzerland recorded CHF45.6 bn in gross premiums in 2021. That made Switzerland the world’s third-largest reinsurance location, according to a BAK Economics study commissioned by the Swiss Insurance Association.
The study points to Zurich’s financial center and its globally active reinsurers as major reasons for Switzerland’s position. Only the U.S. and Germany ranked ahead of Switzerland by gross reinsurance premiums.
BAK Economics said Switzerland benefits from access to open reinsurance markets. It also cited the regulatory environment, availability of specialist talent, and political and macroeconomic stability.
Swiss reinsurers also showed above-average productivity. In 2020, they generated CHF4.8 bn in gross value added.
That represented about one-fifth of the added value created by the entire Swiss insurance industry. Reinsurance has grown faster than domestically focused insurance business over the past 20 years.
The study said internationally active reinsurance products have been a stronger growth source for the Swiss insurance sector. BAK Economics expects the industry to keep benefiting from high-growth foreign markets.
The findings place reinsurance among Switzerland’s major export-oriented financial services activities. For Zurich, the sector remains tied to global risk transfer, specialist underwriting, and capital management.
