Aspen Insurance is expecting to see rate increases of up to 20% in both its insurance and reinsurance lines next year.
In a recent presentation to investors, the insurer said that it projects rate increases following the high levels of hurricane-related losses in the third quarter of this year. Aspen reported losses of US$310 million – net of reinsurance and reinstatement premiums – due to the impacts of Hurricanes Harvey, Irma, and Maria.
The company revealed tables to investors detailing the expected rate changes for specific lines of business:
| Insurance line of business |
Rate change |
| Global energy and construction |
10%-20% |
| Global marine |
7.5%-15% |
| US property and programs |
5%-15% |
| Reinsurance lines of business |
Rate change |
| US property catastrophe |
5%-20% (more projected if loss affected) |
| International property catastrophe |
2.5%-10% |
| US risk excess and pro rata |
2.5%-10% |
| International risk excess and pro rata |
2.5%-7.5% |
| Marine |
5%-15% |
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