Insurers, know your war limits
08 November 2022
Insurance brokers, insurers, reinsurers and risk managers have survived a terrible few years, learning hard lessons about the impact of systemic risks on their operations and profitability. The 2020-21 COVID-19 pandemic caught the entire non-life insurance sector off-guard, with global insurer and reinsurer exposures to business interruption (BI) losses far exceeding what had ever been envisaged. Natural catastrophes packed a punch too, with reinsurer Munich Re confirming that earthquakes, floods, storms, wildfires and other extreme weather events destroyed assets totalling US$280 billion in 2021!