Trend of Mergers and Acquisitions Sweeping Reinsurance Market Poses Risk to Lloyd’s

Insurers and reinsurers across the globe, seeking to hedge pressures of an increasingly over-capitalized, competitive market, are resulting in a wave of mergers and acquisitions. This trend of mergers and acquisitions sweeping through the re/ insurance industry may be an emerging risk to Lloyd’s of London’s business share, according to Fitch. Fitch advises that operating through a traditional insurance model may be becoming more expensive, even after overheads and acquisition costs are taken into account.