Reinsurance markets expected to pick up California wildfire losses: Fitch

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Fitch Ratings Inc. Although the gross insured losses of this year’s California forest fires are re important Çarşamba in a statement on Wednesday, much of the loss is expected to be left to global reinsurance markets and will reduce the net exposure of US domestic markets.

According to a report released earlier this month, Chicago-based Fitch raised its outlook for the US property / accident insurance industry from ”negative“ to ”stable“ and predicted a 99% combined rate of 2018 despite losses from Michael and California forest fires.

Fitch said the California Insurance Department had received about 40,000 requests for Camp and Woolsey / Hill fires, where a total loss of $ 9.1 billion was reported on December 12th. housing ownership policies.

Fitch has predicted that the most recent loss forecasts in November were from AIR Worldwide and Risk Management Solutions, Inc., which were caused by catastrophe loss models, and that Corelogic Inc. was even more vulnerable to $ 15 billion. $ 19 billion.

In Based on public announcements published by several companies, Fitch estimates that losses will come to an end,. Fitch said.

Fitch said, F In the fourth quarter, the timing of losses is expected to continue. Ri Reinsurance renewal talks for primary companies transferring fire losses to risk transfer partners on January 1 1. a sequence in which forest fire losses hit reinsurance layers. Ür When combined with significant third-quarter catastrophic impacts, the aforementioned average industrial disasters can provide momentum for speed increases over the years, and improved terms and conditions for reinsurers in 2019,. Fitch said.

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