Speaking during Marsh McLennan’s second quarter 2022 earnings call, Dean Klisura, President and Chief Executive Officer, Guy Carpenter, said that the first half of 2022 “was the most challenging property market we have seen in a number of years.”
He added that the June 1 renewal was especially challenging, “as we saw property catastrophe capacity readily constrained globally, with particular challenges in the US and London wholesale market.”
Dean’s quote appeared in Reinsurance News, covering the state of the mid-year renewal market. The article noted that so far this year, property catastrophe reinsurance rates-on-line in the US increased by almost 15%, representing the largest upturn in the Guy Carpenter US Property Catastrophe Rate on Line (ROL) Index since 2006.
Guy Carpenter’s index, maintained since 1990, is the longest-standing source of insights into US catastrophe reinsurance pricing, according to the article. Guy Carpenter updates the index after the key January 1 and July 1 reinsurance renewal periods, and it’s calculated by examining the changes in rate-on-line year-on-year across the same renewal base.