LONDON (Reuters)

Global property catastrophe reinsurance rates will fall 5% to 15% on January 1 for businesses that have not suffered losses, according to reinsurance broker Guy Carpenter.

The market is becoming more competitive after years of rate increases. Reinsurers, which insure the insurers, had previously raised prices and excluded certain businesses due to increased losses from wars and natural disasters. However, they are now more willing to take on risk following strong profits.

Dean Klisura, president and CEO of Guy Carpenter, noted that “renewal outcomes at year-end reflect reinsurers’ positive property experience over the last two years.”

On the other hand, insurance portfolios that faced catastrophe losses in the U.S., Europe, and Canada will see unchanged rates or increases of up to 30%, according to Guy Carpenter.