Reinsurer further reduces exposure to natural catastrophe risks by 14% at 1 January

SCOR has outlined its approach to the 1 January renewals in line with its objective of improving expected technical profitability and the risk-return profile of its P&C portfolio.

In a statement, the reinsurer said it had taken full advantage of current favourable market conditions.

It comes after the reinsurer announced that Swiss Re’s Thierry Léger would be taking up the post of CEO of SCOR with effect from 1 May 2023. He was most recently the chief underwriting officer of Swiss Re.

He will succeed Laurent Rousseau, who has resigned from his position as CEO following a challenging 12 month period, including rating downgrades from Standard & Poor’s and Fitch. 

Rebalancing cat portfolio; reducing exposure to inflation

SCOR said it had taken into account the changes in claims experience in its pricing, particularly for natural catastrophes, by revising the calibration of these risks. It has reduced exposure to natural catastrophe risks (-14% reduction of 1-in-250-year net Cat PML);

Consequently, the Cat PML (of 1-in-250-year net) has decreased by -14% (following a -21% reduction in 2022).

This has been achieved through reduced limits on Cat-exposed Property proportional covers (-30%) and aggregate XL (-25%), and through a significant increase in cedant retention.

SCOR is also reducing its exposure to the most inflation-sensitive lines, such as US Casualty and Motor proportional.

Rate hardening to continue

Jean-Paul Conoscente, chief executive for P&C at SCOR, commented: In one of the best reinsurance environments witnessed in a few decades, SCOR is taking all possible steps to improve the risk-reward profile and technical profitability of its portfolio. 

”To achieve this, SCOR has been particularly focused on controlling exposures, on optimising the capital allocated to the various lines, and on diversifying its risk portfolio. 

”I am confident: the technical profitability of the renewed portfolio should increase significantly. Market hardening looks set to continue, which will allow SCOR to continue to deploy its capital under favourable market conditions during the next renewals”.

The actions taken should result in an improvement in the expected net underwriting ratio of around 2.5 to 3 points, stated SCOR, stemming from an overall rate increase of 9% across the portfolio.

The reinsurer said it was confident that the current P&C cycle would continue, adding, “The Group is actively preparing the upcoming April, June and July 2023 renewals in a positive market environment”.

January 2023 P&C Reinsurance Treaty Renewals

Reinsurance treaties renewal book at January 1, 20231:

 Gross Premiums renewed
(in EUR millions) 2
Evolution vs. January 2022Main lines concerned

Treaty P&C Lines3



  • US Casualty, Property proportional, Motor proportional

Treaty Global Lines4



  • IDI and Engineering
  • Cyber (pricing impact only)





  1. Approximately 67% of SCOR’s P&C reinsurance premiums – representing 47% of SCOR’s total P&C premiums – is renewed in January.
  2. Excluding one large transaction in Europe, and SCOR’s 3rd party capital provision business at Lloyd’s (“SUL”).
  3. Treaty P&C Lines include Property, Property Cat, Casualty, Motor, and other related lines (Personal Insurance, Nuclear, Terrorism, Special Risks, Motor Extended Warranty, and Inwards Retrocession).
  4. Treaty Global Lines include Agriculture, Aviation, Credit & Surety, Inherent Defects Insurance, Engineering, Marine and Offshore, Space, Cyber and Alternative Solutions.