SIRC: No ‘dramatic softening’ despite competitive pressures, Mapfre Re says

November 4 2025 by

Mapfre Re is targeting “sustainable growth” in Asia at the upcoming 1.1 renewals as the Spanish reinsurer progresses towards its target of EUR1 billion (US$1.15 billion) of gross written premium (GWP) in the region, according to its Asia chief.

In an interview with InsuranceAsia News, Javier Sánchez Cea said that Asia offers a compelling growth opportunity for reinsurers, despite the ongoing market softening and increasing risks from climate change.

“We are in the early stage of the renewals,” said Sánchez Cea. “So far, we are seeing discipline in pricing, and nothing to be worried about. Attachment points are stable.”

According to Sánchez Cea, following the last hard market cycle and an influx of capacity, the reinsurance market is currently shifting towards becoming a “buyers’ market,” particularly following a “relatively benign” year for natural catastrophes in 2025.

“What we are expecting is to be flat or low single digit, especially for catastrophe programmes,” said Sánchez Cea. “We do not see a dramatic softening of the market so far. There is a lot of capacity so far, including alternative capital sources, but we are also including the retrocession markets, which we will enjoy as a buyer.

“There is nothing dramatic but there is for sure competitive pressures. An increase in competition is driving reinsurers to relax some standards, but most of the players are disciplined to protect their margins that we had in the last year.”

Mapfre Re has placed Asia at the core of its growth plans. The Spanish reinsurer opened an office in Beijing last year and has a target to grow its Asia book to over EUR1 billion euros of GWP annually, up from around EUR700 million currently, excluding Australia.

At this stage in the cycle, Asia offers a compelling growth opportunity for reinsurers, although the region faces significant challenges due to the impact of climate change on catastrophe exposures in a region that is already highly prone to natural disasters, including earthquakes, typhoons, and tsunamis.

“We want to reach that figure in Asia as soon as possible. That will mainly be driven by the market conditions. We want to be more relevant in the region.”

Javier Sánchez Cea, Mapfre Re

“We are enjoying good results as an industry, but we have to be aware that we are in a very volatile region,” Sánchez Cea said. “There are opportunities. Asia is the fastest growing region in the world with a lot of emerging markets.

“We see opportunities in China and India, our main growth markets, and Japan and southeast Asia. We want to grow in life and capital driven structured solutions, and P&C.”

In a softening marketplace and intense competition for business at the upcoming 1.1 renewals, forging long term partnerships and providing differentiation are vital for reinsurers seeking to grow, according to Sánchez Cea.

“It will be an interesting renewal where everyone is aiming to grow,” said Sánchez Cea. “Clients will look at the long-term relationships and to the players that will stay with them when the losses come. At Mapfre Re, we want to be consistent and as reliable as possible.”

Against this backdrop, Mapfre Re expects to achieve “sustainable growth” in Asia heading into 2026, according to Sánchez Cea. In the first half of 2025, APAC made up 12.76% of Mapfre Re’s EUR2.38 billion of non-group written GWP.

“We have our target of EUR1 billion, and that is still in our mindset,” Sánchez Cea. said. “We want to reach that figure in Asia as soon as possible. That will mainly be driven by the market conditions.

“We want to be more relevant in the region.”

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