In a recent article published in The Insurer, Christos Charitos, Vice President, Head of Casualty Facultative Reinsurance at Sompo, shares his perspective on trends and prospects for the casualty facultative market heading into 2022.
“Looking ahead, we believe that facultative reinsurance is likely to become even more important in the next 12-18 months,” he said. “For carriers looking for solutions, facultative reinsurance can be a nice way to supplement or replace treaty support, depending on the situation.”
Highlighting the importance of disciplined underwriting, he added, “Underwriters, carriers, and reinsurers all need to be disciplined with capacity. Right now, there are a lot of question marks in the industry with where things are going, and we have to be disciplined with what we’re putting out in the market. Those who get caught putting out very long limits for questionable pricing are going to have a hard time in the long run.”
About Sompo
Sompo Holdings Ltd. is a global specialty provider of property and casualty insurance and reinsurance, headquartered in Bermuda. Through its operating subsidiaries, Sompo writes agriculture, professional lines, property, marine, energy, casualty and other specialty lines of insurance and catastrophe, property, casualty, professional lines, weather risk and specialty lines of reinsurance. Sompo companies are wholly owned subsidiaries of Sompo Holdings, Inc., whose core business encompasses one of the largest property and casualty insurance groups in the Japanese domestic market. We maintain excellent financial strength as evidenced by the ratings of A+ (Superior) from A.M. Best (XV size category) and A+ (Strong) from Standard and Poor’s on our principal operating subsidiaries. Sompo’s headquarters are located at Waterloo House, 100 Pitts Bay Road, Pembroke HM 08, Bermuda and its mailing address is Sompo, Suite No. 784, No. 48 Par-la-Ville Road, Hamilton HM 11, Bermuda.
For more information about Sompo, please visit www.sompo-intl.com.