Revealed – the world’s 50 largest reinsurance companies
The firm warned, however, that the rise in GWP could be offset by the drop in property catastrophe premium as many reinsurers have begun shrinking their exposure to – if not withdrawing completely from – the market.
The appreciation of the US dollar against most other currencies, including the euro, has also dampened premium volume for several reinsurance companies.
Despite the significant catastrophe losses – most of which stemmed from secondary perils – the top 50 reinsurers posted an average combined ratio under 100 for the first time in five years. The average combined ratio of the 10 largest firms was 99.2 last year, significantly better than the 104.9 registered in 2020.
Read more: What’s happening across the reinsurance market? – Gallagher Re report
Top reinsurers retain leading spots
The three largest reinsurers from the last year retained their spots, with Munich Re, which clinched first place in 2021 following the exclusion of primary premiums in the rankings, remaining at the top of the list. The Germany-based company posted a 10.8% rise in GWP, driven exclusively by the expansion of its property and casualty (P&C) segment.
Securing the number two spot is Swiss Re. The Switzerland-based reinsurer saw premium growth in both its P&C (8%) and life and health (7%) segments. Munich Re and Swiss Re accounted for 24.3% of the top 50 firms’ GWP in 2021, down slightly from 25.6% from the year prior, likely due to the depreciation of the euro.
Hannover Rück SE also maintained its position at third after seeing premium volume jump by 12%. Growth was driven by the German reinsurer’s P&C segment, which rose more than 16% because of “favorable pricing trends.”
Although the top three were the same as last year, there was notable movement among the other companies in the top 10. Canada Life Re moved up to the fourth spot from number eight last year, leapfrogging SCOR, Berkshire Hathaway, China Re, and Lloyd’s. It also marked the first time that a solely life reinsurance group made the top four. Canada Life re-entered several new long-term reinsurance agreements, including a multi-billion-dollar block transfer of Japanese whole life policies and a deal to reinsure pension liabilities in the Netherlands and the UK last year.
Read more: Reinsurers enjoy robust capital growth – Willis Re
Korean Re, which held tenth place in 2020, dropped to the 13th spot, owing to currency fluctuations. Despite premium growth of about 7%, China Re, in sixth place in 2021, slipped back to eighth, the position it held in 2020.
Also enjoying growth in GWP is Berkshire Hathaway at 3.5% – although the Warren Buffett-owned firm slipped one spot to sixth place – and UK insurance marketplace Lloyd’s at 17.2%, retaining its spot at number seven. France-headquartered SCOR slid to fifth from fourth last year, after a 1% decline in premium volume.
The 10 largest reinsurers in the rankings accounted for slightly over two-thirds of the total GWP at 67.9%, a marginal decline from 68.5% in 2020.
The world’s 50 largest reinsurers ranked
According to AM Best, the rankings are meant to “isolate a reinsurer’s business profile” using GWP.
To obtain the most accurate figures possible, the credit reporting agency said it made several “assumptions and adjustments as [it] navigated through different financial statements, accounting standards, and segment reporting,” with the most essential adjustment being “capturing only third-party business and excluding affiliated or intergroup reinsurance.”
AM Best also converted all reporting currencies to US dollars using the foreign exchange rate as of the date of the reinsurers’ financial statements. The firm said currency exchange rate fluctuations have a “meaningful effect” on the rankings.
Read more: Gallagher Re reports on “challenging” January reinsurance renewals
When financial statements and supplemental data did not provide a proper breakdown of premiums, however, AM Best obtained information directly from the reinsurer, but cautioned that this may be unaudited.
Here are the 50 largest reinsurance companies in the world, according to the credit reporting agency’s annual report.
Ranking
Company
Country
Previous ranking
GWP
(US$ million)
Loss ratio
1
Munich Re
Germany
1
$46,836
99.6
2
Swiss Re
Switzerland
2
$39,202
97.1
3
Hannover Re
Germany
3
$31,443
98.0
4
Canada Life Re
Canada
8
$23.547
N/A
5
SCOR
France
4
$19,933
100.6
6
Berkshire Hathaway
USA
5
$19,906
95.1
7
Lloyd’s
UK
7
$19,343
95.2
8
China Re
China
6
$17,808
95.1
9
Reinsurance Group of America
USA
9
$13,348
N/A
10
Everest Re
Bermuda
11
$9,067
98.1
11
PartnerRe
Bermuda
12
$8,204
90.5
12
RenaissanceRe
Bermuda
14
$7,834
102.1
13
Korean Re
South Korea
10
$7,145
100.6
14
TransRe
USA
16
$6,034
99.5
15
General Insurance Corporation of India
India
13
$5,821
108.1
16
AXA XL
Bermuda
15
$5,480
103.8
17
Arch Capital
Bermuda
17
$5,094
94.2
18
MS&AD Insurance Group
Japan
18
$4,393
97.7
19
Pacific Life
USA
27
$4,098
N/A
20
Sompo International
Bermuda
22
$3,855
93.1
21
MAPFRE RE
Spain
21
$3,719
98.1
22
Assicurazioni Generali
Italy
19
$3,670
111.4
23
R+V Versicherung
Germany
20
$3,421
102.2
24
Validus Re
Bermuda
25
$3,171
101.0
25
The Toa Reinsurance
Japan
23
$2,988
110.2
26
Liberty Mutual
USA
Not ranked
$2,945
95.2
27
Odyssey Re
USA
28
$2,842
100.0
28
AXIS Capital
Bermuda
24
$2,823
99.7
29
Taiping Reinsurance
China
29
$2,339
103.9
30
Peak Reinsurance
Hong Kong
30
$2,145
102.1
31
Caisse Centrale de Réassurance
France
26
$2,144
66.9
32
Qianhai Reinsurance
China
34
$1,994
100.5
33
QBE
Australia
36
$1,662
72.8
34
Aspen Insurance
Bermuda
33
$1,597
93.6
35
Deutsche Rückversicherung
Germany
35
$1,577
105.5
36
IRB – Brasil Resseguros
Brazil
31
$1,552
132.0
37
Tokio Marine & Nichido Fire Insurance
Japan
37
$1,483
100.9
38
SiriusPoint
Bermuda
32
$1,350
116.2
39
Fidelis
Bermuda
41
$1,289
111.6
40
Markel Corporation
USA
39
$1,246
105.3
41
W.R. Berkley
USA
44
$1,228
90.7
42
Lancashire
Bermuda
43
$1,225
108.9
43
Allied World
Bermuda
40
$1,201
101.1
44
American Agricultural Insurance
USA
38
$927
86.7
45
Chubb
Switzerland
42
$873
108.6
46
African Reinsurance
Nigeria
45
$845
93.5
47
Hiscox
Bermuda
47
$808
70.6
48
Somers Re
Bermuda
Not ranked
$783
104.3
49
DEVK Re
Germany
48
$759
104.7
50
Central Reinsurance Corporation
Taiwan
49
$755
95.5
Source: AM Best, Best’s Market Segment Report 2022
