All North American reinsurers which are analyzed by Fitch Ratings have revealed deterioration in underwriting results, preceding to underwriting losses.
The complete division registered a combined ratio of 105.4% in 2020, increased by nearly 9% from the previous years, with COVID-19 losses as the major difference.
The losses counted up to 7.4% to the combined ratio, while natural catastrophe losses counted up to 6.8%, indicating an average improvement from the previous years.
Nonetheless, the fundamental accident-year combined ratio omitting catastrophes and COVID-19 losses, recovered by 1.5 points to less than 90%
Sirius International Insurance Group only informed COVID-19 losses through September 2020, as the firm did not release its catastrophic losses in the final public annual firing before the 2021 merger with Third Point Reinsurance.
The group of reinsurers revealed a total loss of $1.8 billion due to COVID-19 in 2020, most of the loss was recorded in the latter half of 2020.
RenaissanceRe and Sirius reported COVID-19 losses greater than the group average of 12.4% and 8.9% of earned premium, whereas Watford Holdings revealed a 1.0% of earned premium impact due to the losses. Net Written Premium for the group improved by 5.4% during 2020 on the foundation of acquisition activity and satisfactory prices in most property lines.