Hannover Re updates on treaty reinsurance renewals

Hannover Re, which is the world’s third largest reinsurance group, and is the parent company of Argenta Holdings, has today released data relating to the company’s portfolio in the recent reinsurance renewal season. The data mainly relates to the property and casualty reinsurance portfolio. Renewals at 1 January represent more than three fifths of the total property and casualty book, with a total premium volume of €10.2 billion (£8.8 billion) up for renewal at the year end.

The reinsurance market continues offer attractive returns, although pricing levels have moderated recently. The retained earnings of incumbent reinsurers act to provide additional capital, increasing the supply of reinsurance faster than the growth in demand. Competition is largely around price, with only minimal weakening of terms and conditions. Price competition was more pronounced in the property catastrophe arena and in some parts of the specialty market, with casualty reinsurance more stable. The company estimates the risk adjusted rate change on renewal business at 3.2% down.

The management view the overall market as rational, and expects it to respond to loss activity. Rates remain more than adequate to meet the company’s cost of capital. A full set of analysts’ slides is available here.

There are obvious differences between the inward reinsurance portfolio of a European reinsurance company such as Hannover Re, and those of Lloyd’s syndicates. However, we think that this detail provides useful context ahead of the reporting season for Lloyd’s syndicates and businesses which will begin at the end of this month.

Hannover Re will report its results for the year to 31 December 2025 on 12 March 2026.