Bermuda and U.S. reinsurers maintain profitability amid high claims

A composite of U.S. and Bermuda-based reinsurers has achieved five consecutive years of underwriting profitability. According to an AM Best report, the aggregate net return on equity for these seven companies was 16.8% in both 2024 and 2025. While profitability remains strong due to higher net investment income from interest rates, gross premium growth slowed to less than 1.0% in 2025, down from 11.7% the previous year.

Separately, data from the Bermuda Monetary Authority reveals that Bermuda commercial reinsurers and insurers incurred US$1.34 trillion in gross claims costs globally between 2016 and 2025. United States policyholders accounted for 62% of these claims, totaling US$827 billion, while European policyholders received US$20 billion. The year 2025 alone represented 19% of the decade's total claims, highlighting the increasing scale of the market.