LINE OF BUSINESS OVERVIEW | LIFE, ACCIDENT AND HEALTH
2018 was a year of stable progress for the Life reinsurance sector with no major events or market developments having an undue impact on the performance of carriers. The broader Life insurance market experienced a similar year with single digit growth in the mature markets, such as North America and Europe, but with higher rates of growth in regions with historically lower levels of insurance penetration, notably Asia and Latin America.
With a market size estimated at between USD75 - USD80 billion and with established players remaining predominant in Life reinsurance, the essence of Barents Re’s Life strategy is to offer products where there are gaps in coverage for smaller deals, shares of treaties or entities in regions with good growth prospects. Such deals are of lesser interest to the established players, providing an opportunity for Barents Re to step in and fill the coverage void encountered by clients.
We are particularly pleased with our progress in regions with two of the fastest rates of growth: Asia and Latin America. In partnership with clients, our product development work over the past year has borne fruit with greater diversity of cover available for mortality, morbidity, disability and longevity risks. Although the saturated markets of the USA and Canada are not of interest, we continue to seek opportunities in Europe to work with like-minded insurers on niche reinsurance business.
For all parties active in the Life reinsurance sector, there are distinguishing traits which will mark out those who will be ultimately successful in this space, regardless of size. A culture of innovation, embracing technology and ensuring regulatory compliance are at the core of the business will all be fundamental to success. We have adopted all these characteristics to complement our diligent and disciplined underwriting expertise.
With a solid year in 2018 and robust plans in place for the year ahead, Barents Re is well placed to achieve further success in the future.