The reinsurance industry faces several headwinds related to macroeconomic and industry burdens, but SCOR is well placed to handle these, according to Denis Kessler, chairman and chief executive officer of the Paris-based reinsurer.
Executive SummaryWell into implementation of its fifth strategic plan—Optimal Dynamics—SCOR is well positioned to take on the myriad challenges facing reinsurers, ranging from economic headwinds to increasing competition, according to Chair and CEO Denis Kessler. While he discussed the success of recent life reinsurance acquisitions in the U.S. market, M&A activity to increase the U.S. P/C footprint isn't part of the strategic plan "at this precise moment."
Kessler spoke to Carrier Management just before the annual Reinsurance Rendez-Vous at Monte Carlo, starting off with his take on the economic challenges.
“Low interest rates and uncertainties regarding their evolution are one of the main concerns of the industry, especially in Europe,” he said.
“Central bankers seem lost. The global economy is becoming increasingly desynchronized, with the U.S. and U.K. economies rebounding while the eurozone is stagnating. In the meantime, current accommodative monetary policies are feeding an asset bubble, and the exit strategies of ongoing dovish monetary policies are unclear.