Hardening of reinsurance terms

Indian insurers are witnessing harder reinsurance terms, especially those pertaining to natural catastrophes. According to the treaties results, this rise may reach 15 to 20%. The commissions of proportional treaties have also been reduced at least by 10%. GIC, the state owned reinsurer, has decided to reduce its exposure on the local market. International reinsurers also impose limits to natural catastrophes. In India, 40% of renewals took place on April 1.