Large European reinsurer Hannover Re expanded its retrocession protections by around 17%, or EUR 200 million to EUR 1.4 billion at the January 1st, 2026, reinsurance renewals, with increased capacity for its capital markets backed K-Cessions quota share sidecar facility, and a new parametric earthquake cover.
Today, Hannover Re has reported total premium growth of 3.3% in the renewals of traditional property and casualty reinsurance at 1.1 2026, with an average risk-adjusted price decline of 3.2%.
While it was a highly competitive environment for sellers of protection, Hannover Re took advantage of market conditions to increase its retrocession protection at improved pricing, reporting a stable cession rate for proportional retro.
For 2026, the structure of Hannover Re’s natural catastrophe retro programme is unchanged from 2025, but has grown in size to roughly EUR 1.4 billion, with all three layers expanding when compared with the prior year.
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