In a recent interview with Reinsurance News, Alfredo Lomeli, Chief Underwriting Officer for Latin America and the Caribbean at SCOR, a global reinsurer, highlighted the evolving dynamics of the region’s reinsurance sector as it heads into the 2026 renewals.
He explained that this surplus is putting pressure on pricing and terms, creating “a highly competitive environment.” Despite the challenging outlook, Lomeli emphasised SCOR’s commitment to maintaining strong underwriting discipline.
“We remain confident in our ability to maintain strong underwriting discipline and the expertise necessary to secure sustainable and profitable agreements for all parties. We will continue to adopt a nuanced, territory-based approach that recognises the specific characteristics and claims experiences of each market and individual client across different lines of business and reinsurance placements,” he said.
Lomeli also pointed to facultative reinsurance as an area of particular intensity. “We expect a very competitive facultative offer, as that market often reacts faster than the treaty markets, signalling aggressive competition. New players, supported by fresh capital, will also follow this trend with more flexible terms and competitive rates to gain market share.” While acknowledging that the degree of softening will vary across geographies, he confirmed that the overarching trend is toward more competitive conditions.
For SCOR, the growth opportunities in Latin America remain robust. “SCOR has a deep and strong position in the Latin American and Caribbean market, where we have consistently supported our clients across all their lines of business. Our value proposition extends beyond stable security and capacity, incorporating technical expertise, innovation, and alternative solutions—core tenets of The Art & Science of Risk that we champion globally.”
“Our primary opportunities in the market rely on supporting our clients’ holistic needs across the enterprise. We have the capability to quote and price every product and contract, which is highly valued by our clients and will support our organic growth in this competitive market,” Lomeli noted. He highlighted SCOR’s financial strength, rated A+/Stable/A-1 by S&P Global Ratings, as a cornerstone of its market position. “We remain committed to continuously narrowing the insurance protection gap in Latin America and the Caribbean through close collaboration with our clients and partners.”
Lomeli also stressed the importance of local presence in a region known for its diverse and complex risks. “This region presents a diverse and complex risk landscape, covering numerous countries and varied perils—from hurricanes and earthquakes to volcanic eruptions and secondary perils. Additionally, the political and economic environment remains volatile and dynamic.”
Paris, France headquartered SCOR maintains offices and underwriting teams in Miami, Mexico, Colombia, Brazil, and Argentina to ensure the company understands and operates effectively in every major market. “For a diversified and resilient portfolio, geographic diversification is the fundamental driver for profitability and long-term sustainability across the LAC portfolio,” Lomeli said.
The demand for alternative and structured solutions is also on the rise. “The opportunity for alternative and structured reinsurance solutions in Latin America and the Caribbean is growing significantly,” Lomeli explained.
He outlined how SCOR leverages its technical expertise to help clients stabilise financial results, manage regulatory and capital requirements efficiently, and navigate currency and inflation risks with tailored solutions. “This ability to deliver customised, strategic reinsurance programmes reinforces SCOR’s role as a trusted partner that provides value-added solutions beyond pure capacity,” he added.
Lomeli emphasised: “These structured solutions are a key differentiator and a significant opportunity for growth, as they directly strengthen client resilience and long-term profitability.”
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