The U.S. Federal Emergency Management Agency (FEMA) has now reported the participants on the National Flood Insurance Program’s (NFIP) reinsurance placement for 2025, with a 50% increase in the number of participants when compared with the previous year.
In comparison, for 2024, FEMA transferred an additional $619.5 million of the NFIP’s financial risk to the private market for a premium of $121.1 million, so secured 22% more protection for the 2025 calendar year.
Although, the 2024 placement was an increase on 2023’s when FEMA transferred $502.5 million of the NFIP’s flood risk to the reinsurance market, which was actually 50% down on the prior year’s placement of $1.064 billion.
At the start of this year, when announcing its 2025 reinsurance placement for the NFIP, FEMA noted that the number of participating reinsurers had increased to 27 from 18 for both the 2024 and 2023 placement, so is back in line with the 27 participating reinsurers seen in 2022, but down on the record 32 seen in 2021.
Earlier, in 2020, 27 reinsurers participated on the programme, which was down slightly on the 28 in 2019, but in line with the 27 seen in 2018, and above the 25 participating reinsurers on the 2017 placement.
This year, some major reinsurers participated on the NFIP’s flood reinsurance program, including Allied World Insurance Company, AXIS Re US, Convex Insurance UK, Fidelis Underwriting, Hannover Re, Quantedge, Korean Re, Lloyd’s Syndicate 1301 Inigo, Liberty Mutual, Lloyd’s Syndicate 1274 Antares, Lloyd’s Syndicate 1414 Ascot, Lloyd’s Syndicate 0033 Hiscox, Lloyd’s Syndicate 4472 Liberty Specialty Markets, Lloyd’s Syndicate 2791 Managing Agency Partners, Lloyd’s Syndicate 4444 Canopius, Lloyd’s Syndicate 2010 MMX Lancashire, Lloyd’s Syndicate 2623 Beazley, Lloyd’s Syndicate 2843 – Oak Re, Lloyd’s Syndicate 3123 – Fidelis (Pinewalk), Lloyd’s Syndicate 623 Beazley, Munich Re America, Navigators U.S., Odyssey Re, RenaissanceRe Europe AG, SCOR, Swiss Re America, and The Cincinnati Insurance Company.
For 2025, alternative investment manager Quantedge, Korean Re, Lloyd’s Syndicate 2843 – Oak Re, and Lloyd’s Syndicate 3123 – Fidelis (Pinewalk) participated on the program for the first time.
The above list of participants also highlights the prevalence of Lloyd’s syndicates for the 2025 NFIP renewal, accounting for 13 out of the 27 reinsurers.
Since 2022 and again in 2025, Guy Carpenter, the reinsurance subsidiary of Marsh McLennan, provided broker services to assist in securing the NFIP reinsurance placement, and the firm also provided financial advisory services and modeling.
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