After an extended period of rate increases across the re/insurance sector, the availability of deployable capacity signals a new phase in the cycle, marking a significant shift from recent trends.

This is amongst the findings of Howden’s 2025 market report, Past the Pricing Peak, which reflects the more favourable supply dynamics across both the commercial insurance and reinsurance markets over the last 12 months – dynamics which played a pivotal role in the 1st January 2025 reinsurance renewals, fostering competition that led to a number of risk-adjusted rate reductions.

Market performance remains robust, Howden notes, supported by an attractive underwriting environment. In most lines of business, buyers can expect favourable market conditions to persist in 2025, barring any market-disrupting events.

Tim Ronda, CEO of Howden Re, commented: “The re/insurance market continues to present significant opportunity for growth. Companies across the sector are executing strategies that not only meet their cost of capital but, in many cases, exceed return hurdles. Investors should view the sector as one rich with growth potential and attractive opportunities.

“Encouragingly, our clients are beginning to see relief from the pricing pressures of the last three years in several segments. Even with this relief, we believe that end risk-takers can continue to generate strong returns and provide a stable and long term source of efficient capital. This market environment creates an ideal space for an innovative organisation like Howden to develop new reinsurance products and structures, leveraging available capacity to benefit both clients and the industry, which is positioned for all participants to thrive."


See the next issue of CIR Magazine for more on this report.

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