Introduction

Reinsurance has been playing a very vital role in the market for around 150 plus years now. As per the historical data abstracted, the concept of reinsurance was started with an agreement passed by Cologne Re around one decade after the incident of Great Fire of Hamburg occurred in the year 1852. Then, somewhere in 1990s Cologne Re merged with Gen Re, which is a subsidiary of Berkshire Hathaway. In addition, two of the industry leaders across the globe Swiss Re and Munich Re got recognized in the reinsurance market somewhere in the middle of 1860-1880s.

The size of the global market for Reinsurance is expected to reach US$ 186.6 Bn by 2032, expanding at a compound annual growth rate (CAGR) of 4.5%.

The global reinsurance markets acquire around one-tenth of entire insurance markets in terms of volume, however it plays an essential role when it comes to backing up of the solvency as well as capital efficacy in terms of insurance risk distribution. Moreover, even reinsurance like the primary market has witnessed equivalent competitive pressures that includes excess supply & less demand. However, in upcoming years the industry will have ample opportunities that is expected to maintain as well as upturn its importance. This is mainly due to rising number of risk factors and also macroeconomic conditions across the globe are getting more complex and hazardous.

Opportunities, trends and Challenges in Reinsurance Market
The developments in several technologies are driving the entire reinsurance market to triumph the 4th industrial rebellion. Moreover, suitable use of technology will probably result in effective management of the several verticals of insurance companies that will guarantee the improved profits as well as customer satisfaction. For instance, with the proper use of blockchain technology the reinsurance business will result in well-organized and secure paperwork that assuring the safety of customers’ credentials as well as confidential data. On the other hand, one of the major restraint towards the growth of reinsurance market in upcoming years include the vulnerability towards cybercrimes. Some of the biggest incidences of cybercrime consist of computers & in-house software hacking as well as incursion into the intranet gateways. The global reinsurance market is likely to be impacted by the stealing of data on these devices or even cloud for selling them to the competitors. Another, challenge expected to be faced by the market is high designing as well as manufacturing cost of technology.

Reinsurance Market segments:
The global reinsurance market can be segmented by different types and geography. Further, type segment can be divided into P&C (property & casualty) reinsurance, life reinsurance and health reinsurance. P&C reinsurance will be dominating the market on the account of augmenting swiftness and hard-to-replicate significance in a business that is getting gradually more commoditized.

Geographically, market is segregated to certain key regions covering South America (Brazil, Argentina & Colombia), Asia-Pacific (China, Japan, Korea, India & Southeast Asia), North America (United States, Canada & Mexico), Europe (Germany, France, UK, Russia & Italy), Middle East & Africa (Saudi Arabia, UAE, Egypt, Nigeria & South Africa). North America is expected to dominate the market in upcoming years.

CONCLUSION

The reinsurance markets across the world is augmenting unlike before. Major push in the market is obvious as all the reinsurance market segment are developing at a speedy pace along with the expanding business in terms of both value and volume over the past decade and the trend is anticipated to last for next few years as well. Thus, both insurers as well as reinsurers ought to spot themselves and also utilize this expected growth.

Major players operating in the reinsurance market include Barents Re Reinsurance, Inc., Berkshire Hathaway Inc., BMS Group Ltd., China Reinsurance (Group) Corporation, Everest Re Group, Ltd., Hannover Re, IRB-Brasil Resseguros S.A., Lloyd's, Munich Re, Odyssey Reinsurance, PartnerRe, Reinsurance Group of America, Incorporated, SCOR SE, and Swiss RE Group.

Reinsurance Market Scope

Segment

Distribution Channel (USD Million)

• Direct Writing
• Broker

End user (USD Million)

• Life and Health Reinsurance
• Non-Life/ Property
• Casualty Reinsurance

Regional Overview, (USD Million)
 North America

•  US
•  Canada

 Europe

• Germany
• France
• UK
• Rest of Europe

Asia Pacific

• China
• India
• Japan
• Rest of Asia Pacific

South America

• Mexico
• Brazil
• Rest of South America

Middle East and South Africa