In 2024, Bermuda’s international property and casualty (P&C) re/insurance sector reported a 22.5% increase in net income to $30.9 billion, up from $25.2 billion in 2023, according to the Bermuda Monetary Authority (BMA).
The BMA reported that net written premiums rose 5.4% in 2024 to $72.6 billion from $68.9 billion, while net earned premiums increased 5.6% to $70.7 billion from $66.9 billion.
Total claims reached $39.4 billion, up 10.8% from $35.5 billion, while total assets increased 7.2% to $338 billion from $315.2 billion.
Liquidity conditions declined during the year, as the share of BBB–AAA-rated assets relative to claims reduced to 375.6% of assets as a proportion of claims, down from 412.4% in 2023.
The BMA stated, “Market conditions, such as tightening pricing and terms and conditions, and limit and aggregation management, held investment returns steady in 2024 despite numerous challenges.
“In Bermuda, which is predominantly a reinsurance market, (re)insurers experienced improved profitability in 2024. This was largely driven by a sustained improvement in the investment and underwriting environment, despite natural catastrophe losses estimated to exceed US$130 billion globally. Bermuda (re)insurers benefitted from increased retentions, restricted coverage, and restructured programmes to control premium budgets. The impact of climate change remains a concern for (re)insurers with sustained YoY increases in total insured losses and natural catastrophe losses globally. Perils often deemed as ‘secondary’ (e.g., flood, tornado, hail, wildfires, freeze, etc) drove catastrophe losses in recent years.”
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