, New Zealand
/Tierra Mallorca from Unsplash

New Zealand’s non-life market ‘stable’, good premium growth is anticipated: AM Best

Volatile weather conditions, tightening reinsurance capacity, and reinsurance rate increases may increase volatility.

New Zealand’s non-life insurance segment is predicted to stay stable, anticipating solid premium growth driven by ongoing rate improvement, particularly in the property and motor segments, AM Best said.

Despite weather-related claims and high inflation, the primary non-life market in New Zealand has demonstrated resilience. 

“Earnings in 2023 are expected to be materially impacted by significant weather-related claims, owing to January’s Auckland Anniversary Weekend floods and February’s Cyclone Gabrielle,” Victoria Ohorodnyk, director and head of analytics for Southeast Asia, Australia and New Zealand, AM Best, said.

ALSO READ: Taiwan’s non-life operating performance ‘likely’ to stay afloat in 2023: AM  Best

However, factors such as volatile weather conditions, tightening reinsurance capacity, and reinsurance rate increases may increase volatility in primary insurers' earnings. 

The impact of significant weather-related claims, particularly from the Auckland Anniversary Weekend floods and Cyclone Gabrielle, is expected to affect earnings in 2023. 

Despite these challenges, positive trends in premium growth are anticipated, driven by record-high inflation and ongoing rate adjustments.

 

Follow the link for more news on

Join Insurance Asia community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Exclusives

Income-Allianz failed merger shows popular opinion is king
The deal faced backlash from Singaporeans who thought it betrayed Income’s social mission.
Filipino gamers hold promise for FWD
The insurer plans to support other games and aspects of the gaming ecosystem beyond esports.