Best’s Market Segment Report: Adoption of New Industry Accounting Standard Forces Change in AM Best’s Annual Ranking of Top Reinsurers
August 28 2024 - 3:00AM
Business Wire
The implementation of IFRS 17 accounting standards in the
insurance industry has forced a modification to AM Best’s
annual ranking of top reinsurance groups for 2023.
The re-engineering of this highly watched industry ranking has
been necessitated by the lack of comparability created through the
adoption of IFRS 17, which shifts the traditional focus from
premiums written and earned to one based on insurance revenue that
gauges the amount an insurer has earned for service rendered.
In this year’s ranking, companies that report under IFRS 17 are
ranked 1 to 15 based on gross reinsurance revenue; companies that
report under non-IFRS 17 are ranked 1 to 35 based on the
more-traditional gross written reinsurance premium.
Under this approach, Munich Reinsurance Co. is the largest IFRS
17 reporting reinsurer based on nearly USD 32.9 billion in 2023
reinsurance revenue, followed by Hannover Rück SE (USD 27.0
billion) and SCOR SE (USD 17.6 billion). Swiss Re Ltd. is the
largest non-IFRS 17 reporting reinsurer with USD 40.5 billion in
2023 gross premium written, followed by Berkshire Hathaway, Inc.
(USD 27.5 billion) and Lloyd’s (USD 22.1 billion).
The Best’s Market Segment Report, “World’s 50 Largest
Reinsurers,” is a highly recognized part of AM Best’s overall look
at the global reinsurance industry ahead of the Rendez-Vous de
Septembre in Monte Carlo. Other reports, including AM Best’s
in-depth looks at the insurance-linked securities, Lloyd’s, health
and regional reinsurance markets, will be available during August
and September.
This report notes that over the past two decades, AM Best’s
annual global reinsurance report has outlined major developments in
the segment, as well as ranking the players in the market. Most
years, changes in the ranking have been modest. “This year’s list
of the top reinsurers looks different than it has in prior years,
as the analysis has evolved to provide the most relevant rankings
possible,” said Carlos Wong-Fupuy, senior director, AM Best.
To access the full copy of this market segment report, please
visit
http://www3.ambest.com/bestweek/purchase.asp?record_code=346088.
For all other global reinsurance reports ahead of Rendez-Vous de
Septembre, please visit Best’s Research.
AM Best is a global credit rating agency, news publisher and
data analytics provider specializing in the insurance industry.
Headquartered in the United States, the company does business in
over 100 countries with regional offices in London,
Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more
information, visit www.ambest.com.
Copyright © 2024 by A.M. Best Rating
Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.
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Christopher Pennings, CPCU Financial Analyst +1
908 882 2237 christopher.pennings@ambest.com
Edem Kuenyehia Director, Market Development
& Communications +44 20 7397 0280
edem.kuenyehia@ambest.com
Dan Hofmeister, CFA, FRM, CAIA, CPCU Associate
Director +1 908 882 1893 dan.hofmeister@ambest.com
Christopher Sharkey Associate Director, Public
Relations +1 908 882 2310
christopher.sharkey@ambest.com
Carlos Wong-Fupuy, FIA, FRM Senior Director +1 908 882
2438 carlos.wong-fupuy@ambest.com