Podcast: Andy Marcell on market dynamics, experience gap, impact of Covid-19 and reinsurance capital
In the first half of our interview, we start by looking at the challenges of conducting negotiations and trading without face-to-face interaction, and how Aon is adapting to operating in this environment.
We talk about the experience gap and the impact of Covid-19 uncertainty, as well as cat reinsurance and whether European buyers should be prepared to pay higher rates because of losses in other parts of the world.
Next, we discuss whether the view of risk and the cost of capital for reinsurers has changed, the market dynamics that will shape the key 1.1 reinsurance renewals, and whether capital raising will temper hardening pressures.
Finally, we ask our guest whether the retro product needs to evolve, particularly in areas that have been affected by trapped collateral issues over the last couple of years.
Part II will air later this week and will cover casualty reinsurance, buying strategies in a tough market, demand and structural changes, and the pending Willis transaction.