Casualty Reinsurance
Circumstances can quickly change, causing large, unexpected losses for casualty insurers – even in a healthy underlying rate environment. Developing a reinsurance strategy throughout the cycle helps manage volatility and protects downside risk. It can also provide P&L support with strong capital benefits across premium and reserving risk. Equally, casualty is an attractive market for reinsurers, especially as they look for opportunities to diversify their portfolios.
How Aon Can Help
Insurers are facing challenges from an evolving risk landscape. By partnering with Aon, clients will be able to build a differentiated approach to tackle the complexity and volatility of the market.
- As our clients’ reinsurance requirements evolve, Aon works with its trading partners to drive reinsurer appetite to fit those needs.
- We have experience identifying growth opportunities and helping clients with their business planning.
- Analytics is the foundation of our approach with each reinsurance decision based on a robust assessment of our clients’ customized view of risk to enable better decisions.
- Our one global team’s philosophy is central to our value built on hardworking and numerate colleagues, working to the common goal of delivering superior client outcomes.
66%
Consistent buyers of casualty reinsurance have grown more sustainably through the cycle and appear to rely less on reserving to manage volatility – on average growing GWP by 66 percent since 2011, while opportunistic buyers have shrunk over the same period by two percent
Source: Aon, 2023
Our partnership with our clients not only allows them to continue to offer much-needed protection but to grow a viable business and industry that can navigate the risks of the future.
How We Work with Clients
Aon has developed an innovative, multi-level engagement process to further provide our markets with the most comprehensive analytics and transparency of risk. We have an established process to support the reinsurer's view of risk which is key to a successful outcome. For example, our reinsurer-facing team is individually mapped to the appropriate personnel and skill sets at each reinsurer to help deliver optimal terms. Additionally, Aon has delivered material and repeatable alternative capital solutions, with the ability to articulate the strategy to investors and unlock capital through innovation and analytics.
Why Work With Aon
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Data Solutions
We put data at the heart of our client analysis and broking. We have enhanced our understanding and presentation of client data to:
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Global Casualty Team
We drive value for clients by enabling the following:
- A pooled data and knowledge base that boosts interaction with our markets, which in turn creates a greater alignment of interests
- Deep analytical insight from a well-resourced team to support every transaction
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Value Beyond the Deal
- We tailor clients’ reinsurance strategies based on our understanding of business goals over the cycle rather than on a purely tactical basis
- We examine the impact of macroeconomic shifts (e.g., inflation) on a client’s business model, portfolios and reinsurance purchasing and build this into our advice and broking strategy
Product / Service
Capital Modeling Tools
