US property & casualty reinsurers increased net premiums written to $81 bn

Data from 17 reinsurers shows an 8.6% increase in net premiums written by US property and casualty (P&C) reinsurers over 2022 (see TOP 30 Reinsurance Companies in the United States). The combined ratio for the group remained unchanged from the previous year at 99.8%.

According to The Reinsurance Association of America (RAA) data, the US P&C reinsurers wrote $81 bn of net premiums during the twelve months ended December 31, 2022, up from $74.6 bn for the same period in 2021.

The combined ratio was attributable to a 76.5% loss ratio versus 75.3% for the same period in 2021, and a 23.3% expense ratio versus 24.5% for the same period in 2021.

Policyholders’ surplus was $254.4 bn, compared to $239 bn in the prior quarter

Of the reinsurers included in the survey, General Re Group achieved the lowest combined ratio at 89.9%, whilst the highest was posted by SCOR US at 119.8%.

9 out of the 17 reinsurers analysed by RAA still posted a combined ratio above 100% for 2022, with AXIS Re, EMC Re, Everest Re, Munich Re America, National Indemnity, SCOR US, Siriuspoint America, Toa Re America and XL Reinsurance America all posting an underwriting loss for the year.

This resulted in an overall underwriting loss of $541.2 million for the year. This was an improvement on the underwriting loss of $787.8 million posted by the group in 2021, but this figure was inflated by the $1.2 bn loss reported by Munich Re America, which booked a smaller underwriting loss of $358.7 million for 2022.

In terms of a net loss, AXIS Re, SCOR US, SiriusPoint America, Toa Re America, Transatlantic Re and XL Reinsurance America all posted negative results, and the group’s overall income was reduced from $10.9 bn to $10.5 bn.

For investment income, the result improved substantially from $9.9 bn in 2021 to $14 bn in 2022. This was largely due to National Indemnity, which alone reported investment income of $11.2 bn, versus $7.5 bn previously.