Aon projects $5b reinsurance premium from emerging casualty risks

Opportunities for growth exist in legacy liability transfers, parametric solutions, and more.

Aon plc projects that emerging casualty risks could generate about $5b in reinsurance premium annually.

The report, developed with Moody’s, cites PFAS contamination, addictive software design, and microplastics as key drivers reshaping liability exposures. 

Aon said opportunities for growth exist in legacy liability transfers, parametric solutions, and the development of named peril reinsurance, which offers explicit coverage for specific emerging risks.

Amanda Lyons, global product leader at Aon’s Reinsurance Solutions, said the casualty catastrophe sector is at an inflection point, with a scalable market beginning to take shape.