The underwriting results of sub-Saharan Africa’s reinsurers have continued their trend of year-on-year improvement, benefitting from robust pricing actions on loss-affected lines of business, as well as the global hardening of the reinsurance market, according to a report from AM Best.
The Best’s Market Segment Report, “Sub-Saharan Africa’s Reinsurers Resilient Amid a Complex and Challenging Risk Environment,” forms part of AM Best’s look at the global reinsurance industry around Rendez-Vous de Septembre in Monte Carlo. Additional reports, including AM Best’s annual analysis of the world’s largest reinsurance groups and in-depth looks at the insurance-linked securities, life/annuity, health and regional reinsurance markets, have been published during August and September.
“The creditworthiness of many African debt issuers remains under pressure, which is driving heightened levels of asset risk and is continuing to test the balance sheets of sub-Saharan Africa’s reinsurers,” said Dale Kirby, financial analyst, analytics, AM Best. “On the whole, AM Best-rated reinsurers in the region have demonstrated a level of resilience amid these challenging conditions, particularly those that have successfully mitigated risks through diversification and proactive risk management.”
