FRANKFURT:
Swiss Re is confident it can weather the storm of the coronavirus outbreak, an executive said.
The reinsurer has a strong balance sheet, prudent asset allocation and hedges on assets, Edi Schmid, Swiss Re’s Group Chief Underwriting Officer, said in comments embargoed for Wednesday.
“There is still uncertainty around the financial impact but we deem it absolutely manageable,” he said.
Schmid said that he expected to see an increase in demand for coverage against pandemics. But insurers’ capacity to take on such a systemic risk has limits and governments must also be involved, he said.