Pressure For 2006 Reinsurance Renewals Because of Ecological Destructions, Such as Hurricanes.

According to a comprehensive report published today by Benfield, the world's leading independent reinsurance and risk intermediary, last year's unpredicted catastrophes had uneven impacts on pricing and capacity at 2006 reinsurance renewals.

Recent evaluations by Benfield, found that the hurricanes caused serious increases in reinsurance rates in the United States of America . Property Catastrophe business especially increased their insurance rates in loss-affected areas. Marine reinsurance markets were also affected. While they were affected, hurricanes had a generally stabilizing influence, reversing the downward price trend. This is causing renewals to be less insurance renewals.

The Benfield report stated that loss influenced property catastrophe treaties in the United States had the most significant price increases, at times, more than 100 percent. Loss-free property business in the U.S. was actually up 10-20 percent, judging against the 20 percent price falls in January 2005.

In Western, Central, and Eastern Europe , Australia , Latin America and the Caribbean , there were major sways from price decreases in 2005, to either double-digit growth or no growth at all.