Munich Re Pushes for Higher Reinsurance Rates

FRANKFURT (Reuters) – Munich Re announced its intent to advocate for increased reinsurance rates, reflecting the rapid rise in costs for insured damages compared to overall consumer prices.

Management board member Thomas Blunck stated during the ‘Rendez-Vous de Septembre’ industry meeting in Monte Carlo, “Damage inflation is significantly higher (than overall inflation) in many reinsurance segments.”

Factors contributing to this increase include:
– Higher U.S. legal claims for damages
– Costly new medical treatments
– Shortages in construction materials and qualified workers

Blunck emphasized that Munich Re will maintain a focus on ensuring adequate reinsurance rates and contract terms.