The global reinsurance industry delivered a second consecutive year of solid results in 2024, according to AM Best’s latest market segment report, released ahead of the annual Rendez-Vous de Septembre in Monte Carlo.

The report, Reinsurers’ Disciplined Capital Deployment and Underwriting Remain Key Foundations, highlights how the pricing and risk-sharing shifts that began with the January 2023 renewals have continued.

AM Best said risk-adjusted capitalisation is still strong, supported by retained earnings and disciplined capital management. Strong underwriting, boosted by higher investment income amid higher interest rates, also underpinned the results.

While property catastrophe pricing saw modest declines, reinsurers “remain disciplined in this transitioning market, with terms and conditions, and attachment points largely intact", the agency noted.

The absence of companies entering the market contrasts with past cycles, when fresh capital flowed in after significant loss years.

Market conditions are still attractive, AM Best concluded, with underwriting discipline and capital management continuing to anchor the sector.