The German Insurance Market


Creating transparency together

Almost a year and a half of the COVID-19 pandemic is behind us. The global economy is on a growth path and the summer of 2021 seems to be bringing the hoped-for relief, and not just in Europe and the USA. However, further developments are uncertain and, upon closer inspection, we can see different patterns: in the southern hemisphere, the situation remains tense. A number of industries are virtually having to reinvent themselves to get out of the deep financial hole they’re currently in.

Across all industries, there is one item on the agenda for global companies: the hedging of international risks in the face of increasing supply chain vulnerability. The grounding of the freighter “Ever Given” in the Suez Canal and “Uri”, the winter storm that hit clusters of industry in Texas in the USA, are just two examples. Alternative coverage concepts such as parametric policies are likely to supplement international programmes in the future. The insurance benefit will then be based not on the loss, but on the occurrence of a predefined event.

Protection against cyber risks will also be increasingly integrated into international programmes. This is because the number of ransomware attacks on companies is increasing worldwide, with loss amounts tending to rise. Claims processing, however, often proves to be a challenge within a company group. This is where Financial Interest Cover can be a useful tool. The advantage is that in terms of both risk coverage and claims settlement, the focus is on the parent company.

Increased activities can be expected in the areas of employee benefits and intellectual property (IP). Ongoing digitisation means that the protection of intellectual property per se is gaining in importance. We are also seeing a large number of lawsuits for alleged infringements of such property rights.

The Employee Benefits business is already benefiting hugely from the increased awareness of healthcare issues. This will continue, especially since many companies are also striving for international harmonisation in this area. That the markets have recently been providing ever more solutions is beyond question. At the same time, however, it is clear that the appetite for risk among insurers in a global context is waning in the face of high accumulation risks. The only way to ensure that companies have sufficient access to insurance capacities, even on a global scale, is to create maximum transparency among all parties involved. By acting as an intermediary between companies and the insurance industry, we will contribute our technical expertise and many years of experience in order to achieve this common goal.


Hartmuth Kremer-Jensen
Managing Director | Deputy CEO | Chief Broking Officer