SIRC 2026: Capacity alone will not decide APAC renewals: JB Boda

November 5 2026 by and

Reinsurance capacity across APAC remains strong and should hold through the January renewals, Rohit Boda, group managing director at JB Boda, says.

What trends are you seeing ahead of 1.1 renewals, and how is Gift City changing the picture? 

In India, Gift City is adding more depth to the market. With more reinsurers establishing a presence, cedents have greater choice when placing their programs.  

If the loss record is sound and catastrophe exposure is managed, there is room to negotiate better pricing.  

But capacity alone does not decide the outcome. Reinsurers are looking closely at the quality of the business, and they are not willing to compromise on pricing just to grow their portfolios. 

What are cedents prioritising beyond price? 

The discussions we are seeing go beyond getting a lower rate. Cedents want to know that the capacity they secure will be dependable, especially when they need support after a major loss. 

Data is playing a bigger role in renewal negotiations. When cedents can provide clear exposure information and a sound picture of their portfolio, reinsurers are better placed to assess the business and offer terms that reflect the actual risk.  

The priority is not simply to buy the cheapest reinsurance. It is to secure the right protection, at a competitive cost, from reinsurers that understand the portfolio and are prepared to support it over the long term. 

Will the softer market continue, or is the market already moving in different directions for different risks? 

We expect the softer market to continue into the January 2027 renewals, particularly for portfolios with good underwriting results.  

The market is not moving in the same direction for every risk. Reinsurers are looking closely at loss experience, catastrophe exposure, deductibles and coverage terms before deciding what capacity to offer. 

Cedents with a strong track record should have more room to negotiate on pricing, program structures and terms. 

Those with adverse loss experience or inadequate pricing may find reinsurers more cautious. 

Which risks are becoming harder to place? 

Capacity across APAC remains broadly in line with other global markets, but reinsurer appetite varies by territory, peril and the nature of the risk.  

Property catastrophe treaties remain more challenging to place in areas exposed to earthquakes, floods, typhoons and cyclones.  

This includes flood and cyclone-exposed parts of Australia and earthquake-prone areas of Japan. 

How have the Thailand floods and the Kumamoto earthquake affected the market? 

Losses from the Thailand floods are estimated at around US$325 million, while insured losses from the Kumamoto earthquake are approximately US$2 billion.  

However, we do not expect these events, on their own, to fundamentally alter the direction of the APAC reinsurance market. 

What potential do you see for insurance-linked securities and managing general agents in India? 

India has potential to develop both. Both can address gaps in the market, from specialist underwriting to the availability of risk capital.  

With MGAs, there is scope for businesses that understand a particular industry and already have strong distribution networks to play a bigger role in underwriting. 

Catastrophe bonds could give insurers and public entities another way to transfer risk to capital market investors rather than relying entirely on conventional reinsurance capacity. 

We will need clear regulatory frameworks, reliable exposure data and structures that investors understand. 

Do parametric solutions have growth potential in India? 

Agriculture is one of the clearest areas where parametric insurance could grow, given how exposed farmers are to changing rainfall patterns, drought, heat and other weather-related events.  

Today, crop insurance covers below 30% of the country’s gross cropped area, and weather index solutions account for below 30% of the coverage under the government-backed crop insurance scheme, the Pradhan Mantri Fasal Bima Yojana. 

Parametrics can complement existing agricultural covers, if products are affordable and their triggers reflect the risks farmers face. 

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