Market Trends of Switzerland Reinsurance Industry
Growing Claim Paid by Insurance Companies Increased the Need of Reinsurance
Switzerland has seen a steady increase in insurance claims across various industries, such as health insurance, motor insurance, property and casualty insurance, and others. This steady increase in insurance claims will have a direct impact on the reinsurance market. By purchasing reinsurance, insurance companies reduce the risk of insolvency. Furthermore, reinsurance increases the capacity of the insurance company to bear the financial weight of increasing clients.
Non-Life Reinsurance is Fastest Growing in the Market
Switzerland is a densely populated country and is particularly vulnerable to natural hazards, especially floods. Flood losses are expected to keep increasing with climate change and urbanization. In the current year, Floods, debris flows, landslides, and rock falls caused damage of around CHF 45 million across all of Switzerland. Due to such disasters, properties of the people get damaged and the need for insurance and reinsurance is increasing across the country.
