Best’s Market Segment Report: Adoption of New Industry Accounting Standard Forces Change in AM Best’s Annual Ranking of Top Reinsurers

OLDWICK, N.J.--(BUSINESS WIRE)--
The implementation of IFRS 17 accounting standards in the insurance industry has forced a modification to AM Best’s annual ranking of top reinsurance groups for 2023.

The re-engineering of this highly watched industry ranking has been necessitated by the lack of comparability created through the adoption of IFRS 17, which shifts the traditional focus from premiums written and earned to one based on insurance revenue that gauges the amount an insurer has earned for service rendered.

In this year’s ranking, companies that report under IFRS 17 are ranked 1 to 15 based on gross reinsurance revenue; companies that report under non-IFRS 17 are ranked 1 to 35 based on the more-traditional gross written reinsurance premium.

Under this approach, Munich Reinsurance Co. is the largest IFRS 17 reporting reinsurer based on nearly USD 32.9 billion in 2023 reinsurance revenue, followed by Hannover Rück SE (USD 27.0 billion) and SCOR SE (USD 17.6 billion). Swiss Re Ltd. is the largest non-IFRS 17 reporting reinsurer with USD 40.5 billion in 2023 gross premium written, followed by Berkshire Hathaway, Inc. (USD 27.5 billion) and Lloyd’s (USD 22.1 billion).

The Best’s Market Segment Report, “World’s 50 Largest Reinsurers,” is a highly recognized part of AM Best’s overall look at the global reinsurance industry ahead of the Rendez-Vous de Septembre in Monte Carlo. Other reports, including AM Best’s in-depth looks at the insurance-linked securities, Lloyd’s, health and regional reinsurance markets, will be available during August and September.

This report notes that over the past two decades, AM Best’s annual global reinsurance report has outlined major developments in the segment, as well as ranking the players in the market. Most years, changes in the ranking have been modest. “This year’s list of the top reinsurers looks different than it has in prior years, as the analysis has evolved to provide the most relevant rankings possible,” said Carlos Wong-Fupuy, senior director, AM Best.

To access the full copy of this market segment report, please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=346088.

For all other global reinsurance reports ahead of Rendez-Vous de Septembre, please visit Best’s Research.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

Copyright © 2024 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

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Christopher Pennings, CPCU


Financial Analyst


+1 908 882 2237


christopher.pennings@ambest.com

Edem Kuenyehia

Director, Market Development


& Communications


+44 20 7397 0280


edem.kuenyehia@ambest.com

Dan Hofmeister, CFA, FRM, CAIA, CPCU


Associate Director


+1 908 882 1893


dan.hofmeister@ambest.com

Christopher Sharkey

Associate Director, Public Relations


+1 908 882 2310


christopher.sharkey@ambest.com

Carlos Wong-Fupuy, FIA, FRM


Senior Director


+1 908 882 2438


carlos.wong-fupuy@ambest.com

Source: AM Best